Wingstop Inc. $WING Stock: Copeland Capital Management LLC Raises Holdings

Key Points

• Copeland Capital Management increased its Wingstop holdings by 44.8% in the third quarter, adding 110,667 shares for a total of 357,775 shares valued at approximately $37.7 million, or 1.31% of the company.
• Analysts maintain a generally positive outlook, with Wingstop carrying a consensus “Moderate Buy” rating and an average price target of $236.44, although several firms recently lowered their targets.
• Wingstop exceeded quarterly EPS expectations at $1.18 versus $1.02, but revenue missed estimates; shares opened at $125.76, while the company raised its quarterly dividend to $0.33 per share.

Copeland Capital Management LLC boosted its holdings in shares of Wingstop Inc. (NASDAQ:WING - Free Report) by 44.8% in the third quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 357,775 shares of the restaurant operator's stock after buying an additional 110,667 shares during the quarter. Copeland Capital Management LLC owned 1.31% of Wingstop worth $37,699,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also bought and sold shares of the company. Allworth Financial LP acquired a new stake in shares of Wingstop in the second quarter worth $34,000. Harbor Investment Advisory LLC purchased a new position in shares of Wingstop during the second quarter worth $46,000. Global Retirement Partners LLC acquired a new position in Wingstop during the second quarter valued at $62,000. GAMMA Investing LLC lifted its position in Wingstop by 35.9% during the second quarter. GAMMA Investing LLC now owns 382 shares of the restaurant operator's stock valued at $66,000 after purchasing an additional 101 shares during the period. Finally, Northwestern Mutual Wealth Management Co. acquired a new position in Wingstop during the second quarter valued at $69,000.

More Wingstop News

Here are the key news stories impacting Wingstop this week:

• Positive Sentiment: High-profile SOUR PATCH KIDS partnership could boost traffic and brand engagement. Wingstop is launching SOUR PATCH KIDS Wicked Punch, a limited-time flavor featuring a “sour then sweet” glaze and candy topping. The product will be available nationwide beginning October 27, with Club Wingstop member access starting October 23. The unusual collaboration may generate social-media attention, trial visits and incremental sales. Wingstop and SOUR PATCH KIDS Brand Dare Fans to Try Halloween's Most Unhinged Flavor
• Positive Sentiment: The campaign reinforces Wingstop’s strategy of using distinctive, limited-time products. Multiple reports describe the candy-inspired wings as a first-of-its-kind flavor and an effort to make the brand more culturally relevant. If the promotion attracts new or lapsed customers, it could support same-store sales and customer acquisition. Is Wingstop’s SOUR PATCH KIDS Tie-In a Clue to Its Evolving Brand Strategy?
• Positive Sentiment: Restaurant expansion continues. The opening of Wingstop’s 50th restaurant in North Little Rock provides another indication of ongoing unit growth, although the individual opening is unlikely to materially change companywide results. Meauxmentum Strategies & Investments Celebrates Opening of 50th Wingstop Restaurant
• Neutral Sentiment: Investor commentary remains mixed. One recent analysis characterized Wingstop shares as undervalued based on a favorable GF Score, but the stock remains well below its 12-month high and trades at a valuation that leaves it sensitive to execution, sales growth and broader restaurant-sector sentiment. The latest reported quarter showed better-than-expected EPS but revenue below estimates, underscoring that marketing excitement must translate into sustained financial performance.

Analysts Set New Price Targets

Several research firms have commented on WING. Robert W. Baird raised shares of Wingstop to a "strong-buy" rating in a report on Monday, August 24th. Benchmark reduced their price objective on Wingstop from $285.00 to $245.00 and set a "buy" rating for the company in a research note on Thursday, July 30th. Bank of America decreased their price objective on Wingstop from $264.00 to $234.00 and set a "buy" rating for the company in a report on Wednesday, June 24th. Stephens reissued an "overweight" rating and issued a $200.00 price objective on shares of Wingstop in a report on Thursday, July 30th. Finally, Morgan Stanley lowered their target price on Wingstop from $255.00 to $238.00 and set an "overweight" rating on the stock in a research note on Thursday, July 30th. Two research analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Wingstop has an average rating of "Moderate Buy" and an average price target of $236.44.

Wingstop Trading Down 0.2%

Shares of WING opened at $125.76 on Wednesday. The firm has a market cap of $3.43 billion, a P/E ratio of 29.87, a PEG ratio of 1.51 and a beta of 1.81. Wingstop Inc. has a 12 month low of $95.82 and a 12 month high of $302.80. The stock's 50 day moving average is $111.55 and its two-hundred day moving average is $139.40.

Wingstop (NASDAQ:WING - Get Free Report) last announced its earnings results on Wednesday, July 29th. The restaurant operator reported $1.18 earnings per share for the quarter, topping the consensus estimate of $1.02 by $0.16. Wingstop had a negative return on equity of 16.31% and a net margin of 16.15%. The business had revenue of $185.56 million during the quarter, compared to the consensus estimate of $190.25 million. During the same period in the prior year, the company posted $1.00 EPS. The business's quarterly revenue was up 6.5% on a year-over-year basis. Equities research analysts forecast that Wingstop Inc. will post 4.46 EPS for the current year.

Wingstop Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Saturday, September 5th. Shareholders of record on Saturday, August 15th were given a dividend of $0.33 per share. This is a boost from Wingstop's previous quarterly dividend of $0.30. This represents a $1.32 dividend on an annualized basis and a yield of 1.0%. The ex-dividend date was Friday, August 14th. Wingstop's dividend payout ratio (DPR) is currently 31.35%.

Wingstop Profile

Wingstop Inc is a restaurant company that specializes in made-to-order chicken wings and related menu items. Its offerings include classic and boneless wings prepared with a variety of signature flavors, as well as chicken sandwiches, tenders, seasoned fries, sides, dips and beverages. The company serves customers through dine-in, takeout, delivery and digital ordering channels.

Founded in 1994 in Garland, Texas, Wingstop has developed primarily as a franchised restaurant brand. The company supports its franchisees through brand marketing, restaurant development, operating systems, menu innovation and supply-chain coordination, while franchisees generally own and operate individual locations.

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