Wendy's (NASDAQ:WEN) Shares Down 2.4% After Insider Selling

The Wendy's Company (NASDAQ:WEN - Get Free Report) was down 2.4% during trading on Monday following insider selling activity. The company traded as low as $18.52 and last traded at $18.54. Approximately 849,685 shares were traded during mid-day trading, a decline of 73% from the average daily volume of 3,179,018 shares. The stock had previously closed at $19.00.

Specifically, CMO Juan Carlos Loredo sold 44,806 shares of the stock in a transaction dated Thursday, May 9th. The shares were sold at an average price of $19.50, for a total transaction of $873,717.00. Following the completion of the transaction, the chief marketing officer now owns 27,586 shares of the company's stock, valued at approximately $537,927. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In related news, Director Kenneth W. Gilbert sold 4,500 shares of the company's stock in a transaction on Friday, March 1st. The shares were sold at an average price of $18.07, for a total transaction of $81,315.00. Following the sale, the director now owns 31,304 shares of the company's stock, valued at $565,663.28. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CMO Juan Carlos Loredo sold 44,806 shares of the business's stock in a transaction dated Thursday, May 9th. The stock was sold at an average price of $19.50, for a total transaction of $873,717.00. Following the completion of the sale, the chief marketing officer now owns 27,586 shares in the company, valued at $537,927. The disclosure for this sale can be found here. 17.10% of the stock is currently owned by corporate insiders.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on the company. Stephens restated an "equal weight" rating and issued a $20.00 price target on shares of Wendy's in a research report on Thursday, May 2nd. UBS Group lifted their price target on shares of Wendy's from $20.00 to $21.00 and gave the stock a "neutral" rating in a research note on Friday, May 3rd. Wedbush increased their price objective on shares of Wendy's from $20.00 to $21.00 and gave the stock a "neutral" rating in a research report on Friday, May 3rd. Citigroup lifted their price objective on shares of Wendy's from $20.00 to $21.00 and gave the company a "neutral" rating in a report on Friday, May 3rd. Finally, TD Cowen reiterated a "hold" rating and issued a $19.00 target price on shares of Wendy's in a report on Friday, May 3rd. Fourteen investment analysts have rated the stock with a hold rating and four have given a buy rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and an average price target of $22.42.

Wendy's Price Performance

The company has a quick ratio of 2.02, a current ratio of 2.04 and a debt-to-equity ratio of 11.21. The stock has a market cap of $3.77 billion, a price-to-earnings ratio of 19.19, a price-to-earnings-growth ratio of 1.87 and a beta of 0.78. The stock has a fifty day moving average of $18.91 and a two-hundred day moving average of $19.05.

Wendy's (NASDAQ:WEN - Get Free Report) last posted its earnings results on Thursday, May 2nd. The restaurant operator reported $0.23 earnings per share for the quarter, beating the consensus estimate of $0.21 by $0.02. Wendy's had a net margin of 9.44% and a return on equity of 62.68%. The firm had revenue of $534.80 million during the quarter, compared to the consensus estimate of $540.84 million. During the same period last year, the firm posted $0.21 EPS. The firm's revenue for the quarter was up 1.1% on a year-over-year basis. On average, equities research analysts anticipate that The Wendy's Company will post 1 earnings per share for the current year.

Wendy's Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, June 17th. Investors of record on Monday, June 3rd will be issued a $0.25 dividend. The ex-dividend date of this dividend is Monday, June 3rd. This represents a $1.00 annualized dividend and a yield of 5.45%. Wendy's's dividend payout ratio is currently 101.01%.

Institutional Trading of Wendy's

Several large investors have recently added to or reduced their stakes in WEN. Highlander Capital Management LLC lifted its holdings in Wendy's by 250.0% in the fourth quarter. Highlander Capital Management LLC now owns 1,400 shares of the restaurant operator's stock worth $27,000 after acquiring an additional 1,000 shares during the last quarter. Signaturefd LLC grew its position in Wendy's by 112.0% in the third quarter. Signaturefd LLC now owns 1,444 shares of the restaurant operator's stock worth $29,000 after buying an additional 763 shares during the last quarter. Spire Wealth Management grew its position in Wendy's by 203.2% in the third quarter. Spire Wealth Management now owns 1,516 shares of the restaurant operator's stock worth $31,000 after buying an additional 1,016 shares during the last quarter. Salomon & Ludwin LLC grew its position in Wendy's by 378.0% during the 1st quarter. Salomon & Ludwin LLC now owns 1,568 shares of the restaurant operator's stock worth $30,000 after purchasing an additional 1,240 shares in the last quarter. Finally, Quarry LP purchased a new position in Wendy's during the 4th quarter worth approximately $34,000. 85.96% of the stock is currently owned by institutional investors and hedge funds.

About Wendy's

The Wendy's Company, together with its subsidiaries, operates as a quick-service restaurant company in the United States and internationally. It operates through Wendy's U.S., Wendy's International, and Global Real Estate & Development segments. The company is involved in operating, developing, and franchising a system of quick-service restaurants specializing in hamburger sandwiches.