The Wendy’s Company (NASDAQ:WEN) Receives Consensus Rating of “Hold” from Analysts

Shares of The Wendy’s Company (NASDAQ:WEN) have been assigned an average rating of “Hold” from the twenty-six brokerages that are covering the company, MarketBeat.com reports. Five analysts have rated the stock with a sell recommendation, sixteen have issued a hold recommendation, four have given a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year price objective among brokers that have covered the stock in the last year is $9.3043.

Several research firms have issued reports on WEN. Evercore set a $8.00 price target on shares of Wendy’s in a research report on Tuesday, February 17th. JPMorgan Chase & Co. decreased their target price on Wendy’s from $9.00 to $7.00 and set a “neutral” rating on the stock in a research report on Monday, February 23rd. Argus raised Wendy’s to a “hold” rating in a report on Wednesday, January 21st. Weiss Ratings reissued a “sell (d+)” rating on shares of Wendy’s in a report on Wednesday, January 21st. Finally, Wall Street Zen cut Wendy’s from a “hold” rating to a “sell” rating in a research report on Saturday, February 21st.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Elevation Point Wealth Partners LLC acquired a new position in shares of Wendy’s in the 2nd quarter worth approximately $25,000. Investors Research Corp acquired a new stake in shares of Wendy’s during the third quarter worth approximately $27,000. Versant Capital Management Inc increased its holdings in shares of Wendy’s by 19,693.8% during the third quarter. Versant Capital Management Inc now owns 3,167 shares of the restaurant operator’s stock worth $29,000 after buying an additional 3,151 shares in the last quarter. MassMutual Private Wealth & Trust FSB boosted its holdings in shares of Wendy’s by 205.0% in the 3rd quarter. MassMutual Private Wealth & Trust FSB now owns 3,257 shares of the restaurant operator’s stock worth $30,000 after acquiring an additional 2,189 shares in the last quarter. Finally, Hilton Head Capital Partners LLC acquired a new position in shares of Wendy’s in the 4th quarter worth approximately $30,000. Institutional investors own 85.96% of the company’s stock.

Wendy’s Stock Performance

WEN opened at $7.66 on Monday. The company has a quick ratio of 1.74, a current ratio of 1.76 and a debt-to-equity ratio of 28.77. The stock’s 50 day moving average price is $8.07 and its two-hundred day moving average price is $8.77. The firm has a market capitalization of $1.46 billion, a P/E ratio of 9.01, a price-to-earnings-growth ratio of 2.16 and a beta of 0.38. Wendy’s has a 12-month low of $6.73 and a 12-month high of $15.83.

Wendy’s (NASDAQ:WEN) last posted its quarterly earnings data on Friday, February 13th. The restaurant operator reported $0.16 earnings per share for the quarter, beating the consensus estimate of $0.14 by $0.02. Wendy’s had a return on equity of 145.93% and a net margin of 7.58%.The company had revenue of $439.60 million during the quarter, compared to analysts’ expectations of $537.11 million. During the same period in the prior year, the business earned $0.25 earnings per share. Wendy’s’s revenue for the quarter was down 5.5% compared to the same quarter last year. Wendy’s has set its FY 2026 guidance at 0.560-0.600 EPS. On average, equities analysts forecast that Wendy’s will post 0.99 earnings per share for the current year.

Wendy’s Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, March 16th. Stockholders of record on Monday, March 2nd will be paid a $0.14 dividend. The ex-dividend date is Monday, March 2nd. This represents a $0.56 dividend on an annualized basis and a dividend yield of 7.3%. Wendy’s’s dividend payout ratio is currently 65.88%.

More Wendy’s News

Here are the key news stories impacting Wendy’s this week:

• Positive Sentiment: Planned closures to improve profitability — Wendy’s will close roughly 5–6% of U.S. locations in 2026 as it reshapes its footprint, while selectively opening new units around Sarasota; trimming underperforming restaurants should improve margins and unit-level returns. Wendy’s closing up to 6% …
• Positive Sentiment: Activist/strategic upside — long-time large shareholder Nelson Peltz is publicly weighing options to enhance value (including possible M&A or other actions). That raises the chance of shareholder‑friendly moves that could support a valuation re-rate. Wendy’s Is Down Sharply—Is the Dividend a Bargain or Value Trap?
• Neutral Sentiment: High yield but mixed sustainability — the dividend yields roughly 7.2% after a 2025 cut; MarketBeat notes the payout (~$106M) appears affordable under guidance but the payout ratio (~66%) and lower free cash flow add uncertainty for income‑focused investors. Wendy’s Is Down Sharply—Is the Dividend a Bargain or Value Trap?
• Neutral Sentiment: Featured in dividend roundups — included in lists of high-yield names, which can attract income investors but also signal elevated risk; this may provide episodic buying interest but not steady support. Five Dividends Up to 15% …
• Negative Sentiment: Very weak same-store sales and cautious guidance — Q4 results beat on EPS but same-store sales fell to the worst level in ~20 years; FY‑2026 guidance (adjusted EPS 0.56–0.60, down sharply) and lowered FCF targets indicate near-term earnings and cash flow pressure.
• Negative Sentiment: Analyst cuts and Hold stance — Zacks has trimmed multiple quarterly and annual EPS estimates across 2026–2028 and keeps a “Hold” view, signaling that sell‑side expectations are moving lower and reducing near-term analyst support.
• Negative Sentiment: Technical/market sentiment is weak — stock sits near its 52‑week low, has been in a prolonged downtrend and faces technical resistance around the 20‑day/50‑day moving averages, making a convincing rebound less likely without fundamental improvement. Wendy’s Is Down Sharply—Is the Dividend a Bargain or Value Trap?

About Wendy’s

The Wendy’s Company (NASDAQ:WEN) operates as a global quick-service restaurant chain, best known for its square-shaped beef patties, fresh ingredient sourcing and signature Frosty dessert. The company’s menu features a variety of hamburgers, chicken sandwiches, salads, breakfast sandwiches, sides and beverages, designed to appeal to a broad customer base seeking both classic and contemporary fast-food options. Wendy’s has placed particular emphasis on product innovation, introducing limited-time offerings and revamped core menu items to maintain customer interest and respond to evolving dining trends.

Founded in 1969 by entrepreneur Dave Thomas in Columbus, Ohio, Wendy’s expanded rapidly through both company-owned and franchised outlets.