Latitude 360 (OTCMKTS:LATX) vs. Wendy’s (NASDAQ:WEN) Financial Review

Latitude 360 (OTCMKTS:LATX) and Wendy’s (NASDAQ:WEN) are both retail/wholesale companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, risk, institutional ownership, valuation, dividends and earnings.

Profitability

This table compares Latitude 360 and Wendy’s’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Latitude 360	N/A	N/A	N/A
Wendy’s	7.58%	145.93%	3.47%

Analyst Recommendations

This is a summary of recent recommendations for Latitude 360 and Wendy’s, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Latitude 360	0	0	0	0	0.00
Wendy’s	5	15	4	1	2.04

Wendy’s has a consensus price target of $9.00, indicating a potential upside of 25.52%. Given Wendy’s’ stronger consensus rating and higher probable upside, analysts plainly believe Wendy’s is more favorable than Latitude 360.

Institutional and Insider Ownership

86.0% of Wendy’s shares are held by institutional investors. 24.5% of Latitude 360 shares are held by insiders. Comparatively, 17.0% of Wendy’s shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Latitude 360 and Wendy’s”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Latitude 360	N/A	N/A	N/A	N/A	N/A
Wendy’s	$2.18 billion	0.63	$165.07 million	$0.85	8.44

Wendy’s has higher revenue and earnings than Latitude 360.

Summary

Wendy’s beats Latitude 360 on 9 of the 10 factors compared between the two stocks.

About Latitude 360

Latitude 360, Inc. operates as a casual dining restaurant/entertainment company in the United States. The company plans, develops, constructs, and operates restaurant/entertainment venues. Its restaurant/entertainment venues feature a grille and bar; luxury bowling lanes; a dine-in movie theater with home theater-style seating; game room; a dine-in live performance theater; a HD sports theater; a bar with a dance floor and stage for the DJs and regional bands every weekend; and a luxury boutique cigar lounge. The company operates three restaurant/entertainment venues in Jacksonville, Florida, Pittsburgh, Pennsylvania, and Indianapolis, Indiana. Its restaurant/entertainment venues serve consumers and corporate clients. The company is headquartered in Jacksonville, Florida. On January 10, 2017, an involuntary petition for reorganization under Chapter 11 was filed against Latitude 360, Inc. in the U.S. Bankruptcy Court for the Middle District of Florida. On February 7, 2017, the involuntary petition was approved by the Court.

About Wendy’s

The Wendy’s Co. engages in operating, developing, and franchising a system of quick-service restaurants. It operates through the following segments: Wendy’s U.S., Wendy’s International, and Global Real Estate and Development. The Wendy’s U.S. segment includes the operation and franchising of Wendy’s restaurants in the U.S. The Wendy’s International segment is involved in the operation and franchising of Wendy’s restaurants in countries and territories other than the U.S. The Global Real Estate and Development segment focuses on real estate activity for owned sites and sites leased from third parties. The company was founded by R. David Thomas on November 15, 1969 and is headquartered in Dublin, OH.