Wingstop (NASDAQ:WING) Price Target Cut to $150.00 by Analysts at Royal Bank Of Canada

Key Points

• Royal Bank of Canada cut Wingstop’s price target to $150 from $200 while maintaining an “outperform” rating, implying approximately 43.7% upside from the stock’s reported $104.37 price.
• Analyst sentiment remains broadly positive, with Wingstop receiving a consensus “Moderate Buy” rating and an average price target of $238.48, despite some recent downgrades and target reductions.
• Wingstop’s latest quarter showed adjusted strength: earnings per share of $1.18 exceeded estimates of $1.02, while revenue rose 6.5% year over year to $185.56 million but fell short of expectations.

Wingstop (NASDAQ:WING - Get Free Report) had its target price lowered by stock analysts at Royal Bank Of Canada from $200.00 to $150.00 in a report issued on Thursday, Benzinga reports. The brokerage presently has an "outperform" rating on the restaurant operator's stock. Royal Bank Of Canada's price target would indicate a potential upside of 43.71% from the company's current price.

A number of other research firms have also recently weighed in on WING. Robert W. Baird raised Wingstop to a "strong-buy" rating in a report on Monday, August 24th. Morgan Stanley decreased their price objective on Wingstop from $255.00 to $238.00 and set an "overweight" rating for the company in a report on Thursday, July 30th. Sanford C. Bernstein cut Wingstop from an "outperform" rating to a "market perform" rating and lowered their target price for the company from $220.00 to $155.00 in a research report on Monday, August 3rd. Citigroup reaffirmed a "buy" rating on shares of Wingstop in a research note on Thursday. Finally, Weiss Ratings lowered Wingstop from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Monday, August 17th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating, five have given a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat.com, Wingstop presently has a consensus rating of "Moderate Buy" and a consensus target price of $238.48.

Wingstop Stock Performance

Wingstop stock opened at $104.37 on Thursday. Wingstop has a one year low of $100.13 and a one year high of $302.80. The company has a 50-day simple moving average of $123.27 and a 200-day simple moving average of $152.90. The firm has a market capitalization of $2.84 billion, a P/E ratio of 24.49, a P/E/G ratio of 1.20 and a beta of 1.79.

Wingstop (NASDAQ:WING - Get Free Report) last issued its quarterly earnings data on Wednesday, July 29th. The restaurant operator reported $1.18 earnings per share for the quarter, beating the consensus estimate of $1.02 by $0.16. Wingstop had a net margin of 16.15% and a negative return on equity of 16.31%. The firm had revenue of $185.56 million for the quarter, compared to the consensus estimate of $190.25 million. During the same period last year, the firm posted $1.00 EPS. Wingstop's quarterly revenue was up 6.5% compared to the same quarter last year. As a group, sell-side analysts forecast that Wingstop will post 4.5 earnings per share for the current year.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Oregon Public Employees Retirement Fund lifted its stake in Wingstop by 1.1% in the 1st quarter. Oregon Public Employees Retirement Fund now owns 5,672 shares of the restaurant operator's stock valued at $879,000 after purchasing an additional 59 shares during the last quarter. State of Michigan Retirement System grew its holdings in Wingstop by 1.5% during the first quarter. State of Michigan Retirement System now owns 6,672 shares of the restaurant operator's stock worth $1,034,000 after purchasing an additional 100 shares during the period. GAMMA Investing LLC increased its position in Wingstop by 35.9% during the second quarter. GAMMA Investing LLC now owns 382 shares of the restaurant operator's stock worth $66,000 after buying an additional 101 shares during the last quarter. KBC Group NV increased its position in Wingstop by 17.3% during the first quarter. KBC Group NV now owns 888 shares of the restaurant operator's stock worth $138,000 after buying an additional 131 shares during the last quarter. Finally, Northwestern Mutual Wealth Management Co. increased its position in Wingstop by 56.7% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 398 shares of the restaurant operator's stock worth $69,000 after buying an additional 144 shares during the last quarter.

About Wingstop

Wingstop Inc is a fast-casual restaurant company specializing in cooked-to-order chicken wings and tenders. Its menu also includes fries, seasoned fries, dipping sauces, and beverages, with offerings built around a range of signature flavors and sauces. The company primarily operates through a franchise-based model.

Wingstop was founded in 1994 in Garland, Texas, and has expanded from its original location into a global restaurant brand. Its restaurants serve customers across the United States and in international markets through a network of franchised and company-operated locations.

Wingstop became a publicly traded company in 2015.

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