Wendy's (NASDAQ:WEN) Given "Hold" Rating at TD Cowen

Key Points

• TD Cowen reaffirmed a “Hold” rating on Wendy’s and kept a $6 price target, implying about 23% downside from the prior close.
• Wendy’s shares were up 15.3% in Tuesday trading, reaching $7.80, as investors reacted to the latest analyst coverage and broader trading momentum.
• The company’s recent earnings showed EPS of $0.12, beating estimates, but revenue of $432.3 million came in below expectations, while analysts overall still rate the stock a Reduce on average.

Wendy's (NASDAQ:WEN - Get Free Report)'s stock had its "hold" rating reaffirmed by TD Cowen in a report released on Tuesday,Benzinga reports. They currently have a $6.00 target price on the restaurant operator's stock. TD Cowen's price target points to a potential downside of 23.03% from the stock's previous close.

A number of other equities analysts have also weighed in on the company. Citigroup boosted their target price on Wendy's from $7.25 to $7.75 and gave the stock a "neutral" rating in a research report on Monday. Stifel Nicolaus set a $6.00 target price on Wendy's in a research report on Thursday, April 30th. Stephens cut their price target on Wendy's from $9.00 to $8.00 and set an "equal weight" rating for the company in a research note on Friday, February 13th. Weiss Ratings restated a "sell (d+)" rating on shares of Wendy's in a research note on Monday, April 20th. Finally, Wall Street Zen downgraded Wendy's from a "hold" rating to a "sell" rating in a research note on Saturday, February 21st. Four research analysts have rated the stock with a Buy rating, fourteen have given a Hold rating and six have given a Sell rating to the company's stock. According to MarketBeat, Wendy's currently has an average rating of "Reduce" and a consensus target price of $8.39.

Wendy's Stock Up 15.3%

Shares of WEN traded up $1.04 during trading hours on Tuesday, hitting $7.80. The company had a trading volume of 30,303,305 shares, compared to its average volume of 8,844,072. The firm has a fifty day moving average price of $7.02 and a 200-day moving average price of $7.84. The company has a debt-to-equity ratio of 29.25, a quick ratio of 1.81 and a current ratio of 1.83. The stock has a market capitalization of $1.48 billion, a price-to-earnings ratio of 10.02, a P/E/G ratio of 2.06 and a beta of 0.35. Wendy's has a 52-week low of $6.37 and a 52-week high of $12.51.

Wendy's (NASDAQ:WEN - Get Free Report) last posted its quarterly earnings results on Friday, May 8th. The restaurant operator reported $0.12 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.10 by $0.02. The firm had revenue of $432.30 million during the quarter, compared to analyst estimates of $518.03 million. Wendy's had a return on equity of 136.46% and a net margin of 6.77%.Wendy's's quarterly revenue was up 3.3% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.20 EPS. Wendy's has set its FY 2026 guidance at 0.560-0.600 EPS. On average, equities research analysts forecast that Wendy's will post 0.58 EPS for the current fiscal year.

Institutional Trading of Wendy's

Several hedge funds and other institutional investors have recently bought and sold shares of WEN. Marshall Wace LLP purchased a new stake in Wendy's during the 3rd quarter valued at $36,912,000. AQR Capital Management LLC grew its position in Wendy's by 38.1% in the 4th quarter. AQR Capital Management LLC now owns 11,705,610 shares of the restaurant operator's stock valued at $97,508,000 after acquiring an additional 3,227,366 shares during the last quarter. Wells Fargo & Company MN grew its position in Wendy's by 258.6% in the 4th quarter. Wells Fargo & Company MN now owns 4,224,648 shares of the restaurant operator's stock valued at $35,191,000 after acquiring an additional 3,046,517 shares during the last quarter. Quinn Opportunity Partners LLC grew its position in Wendy's by 382.8% in the 3rd quarter. Quinn Opportunity Partners LLC now owns 1,216,811 shares of the restaurant operator's stock valued at $11,146,000 after acquiring an additional 964,771 shares during the last quarter. Finally, Barclays PLC grew its position in Wendy's by 114.6% in the 4th quarter. Barclays PLC now owns 116,152 shares of the restaurant operator's stock valued at $968,000 after acquiring an additional 909,122 shares during the last quarter. Hedge funds and other institutional investors own 85.96% of the company's stock.

Wendy's News Roundup

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

• Positive Sentiment: Wendy’s jumped after reports said Nelson Peltz’s Trian Fund Management is seeking backing for a potential take-private transaction, fueling buyout speculation and a possible valuation premium. Wendy's stock jumps 13% as Nelson Peltz eyes potential take-private bid
• Positive Sentiment: Unusually heavy call-option buying suggests traders are positioning for more upside on takeover hopes.
• Neutral Sentiment: Wendy’s also unveiled a new blue restaurant design as part of its broader brand refresh, which may help long-term turnaround efforts but is not an immediate earnings driver. Wendy’s unveils new blue restaurant design amid sales slump
• Neutral Sentiment: Recent coverage also highlighted Q1 results and ongoing store closures, reinforcing that the company is still working through a weak operating backdrop even as buyout speculation dominates trading. Wendy’s Q1 sales decline 7.8% as Project Fresh turnaround gains momentum
• Negative Sentiment: JPMorgan reiterated an underweight rating and cut its price target to $6, reflecting concern that Wendy’s fundamentals and competitive position remain pressured. Wendy's NASDAQ: WEN Receives Underweight Rating from JPMorgan Chase & Co.

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.

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