Wingstop (NASDAQ:WING) Sets New 1-Year Low - Time to Sell?

Key Points

• 52-week low: Wingstop fell to a new one-year low around $139.17, trading well below its 50‑day ($191.51) and 200‑day ($232.02) moving averages, signaling clear near-term weakness.
• Analysts remain broadly positive with a consensus rating of "Moderate Buy" and an average price target of $282.41, though several firms have trimmed targets this year.
• The company reported an EPS beat ($1.18 vs. $1.02) but slightly missed revenue expectations, announced a $0.30 quarterly dividend (0.9% yield), and disclosed insider share sales by directors.

Wingstop Inc. (NASDAQ:WING - Get Free Report) reached a new 52-week low on Thursday . The company traded as low as $139.00 and last traded at $139.1710, with a volume of 80749 shares changing hands. The stock had previously closed at $145.43.

Wall Street Analyst Weigh In

WING has been the subject of a number of recent research reports. Loop Capital initiated coverage on Wingstop in a report on Friday, January 9th. They issued a "buy" rating and a $317.00 price objective for the company. Stephens decreased their price objective on Wingstop from $300.00 to $225.00 and set an "overweight" rating for the company in a report on Thursday, April 30th. Benchmark decreased their price target on Wingstop from $320.00 to $285.00 and set a "buy" rating for the company in a report on Monday, April 20th. Morgan Stanley reiterated an "overweight" rating and set a $255.00 price target on shares of Wingstop in a report on Thursday, April 30th. Finally, Weiss Ratings reiterated a "hold (c)" rating on shares of Wingstop in a report on Friday, March 27th. Two analysts have rated the stock with a Strong Buy rating, twenty-six have given a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $282.41.

Wingstop Stock Performance

The company has a 50 day moving average price of $191.51 and a 200 day moving average price of $232.02. The company has a market capitalization of $3.66 billion, a price-to-earnings ratio of 33.63, a P/E/G ratio of 1.64 and a beta of 1.86.

Wingstop (NASDAQ:WING - Get Free Report) last issued its earnings results on Wednesday, April 29th. The restaurant operator reported $1.18 EPS for the quarter, beating the consensus estimate of $1.02 by $0.16. The company had revenue of $183.73 million during the quarter, compared to the consensus estimate of $187.82 million. Wingstop had a negative return on equity of 16.22% and a net margin of 15.77%.The firm's revenue for the quarter was up 7.4% compared to the same quarter last year. During the same period last year, the business posted $0.99 EPS. Research analysts forecast that Wingstop Inc. will post 4.58 EPS for the current year.

Wingstop Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, June 5th. Stockholders of record on Friday, May 15th will be paid a $0.30 dividend. The ex-dividend date is Friday, May 15th. This represents a $1.20 annualized dividend and a dividend yield of 0.9%. Wingstop's dividend payout ratio (DPR) is currently 29.85%.

Insider Activity

In other Wingstop news, Director Kilandigalu Madati sold 2,700 shares of Wingstop stock in a transaction dated Wednesday, February 25th. The stock was sold at an average price of $260.73, for a total transaction of $703,971.00. Following the completion of the transaction, the director owned 2,583 shares in the company, valued at approximately $673,465.59. The trade was a 51.11% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Wesley S. Mcdonald sold 566 shares of Wingstop stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $250.00, for a total value of $141,500.00. Following the transaction, the director owned 4,375 shares of the company's stock, valued at $1,093,750. This trade represents a 11.46% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.53% of the company's stock.

Hedge Funds Weigh In On Wingstop

A number of hedge funds have recently added to or reduced their stakes in the stock. Vident Advisory LLC boosted its stake in Wingstop by 3.9% during the 4th quarter. Vident Advisory LLC now owns 959 shares of the restaurant operator's stock valued at $229,000 after purchasing an additional 36 shares during the last quarter. Allworth Financial LP boosted its stake in Wingstop by 17.3% during the 3rd quarter. Allworth Financial LP now owns 265 shares of the restaurant operator's stock valued at $67,000 after purchasing an additional 39 shares during the last quarter. YANKCOM Partnership boosted its stake in Wingstop by 10.1% during the 4th quarter. YANKCOM Partnership now owns 426 shares of the restaurant operator's stock valued at $102,000 after purchasing an additional 39 shares during the last quarter. Quadrant Capital Group LLC boosted its stake in Wingstop by 1.7% during the 4th quarter. Quadrant Capital Group LLC now owns 2,628 shares of the restaurant operator's stock valued at $627,000 after purchasing an additional 45 shares during the last quarter. Finally, Ballentine Partners LLC boosted its stake in Wingstop by 5.0% during the 3rd quarter. Ballentine Partners LLC now owns 985 shares of the restaurant operator's stock valued at $248,000 after purchasing an additional 47 shares during the last quarter.

Wingstop Company Profile

Wingstop Inc NASDAQ: WING is a fast-casual restaurant chain specializing in chicken wings and related menu items. Founded in 1994 in Garland, Texas, the company has built its brand around bold, chef-inspired wing flavors and a streamlined service model that caters to dine-in, takeout, delivery and catering orders.

The company's core offerings include both bone-in and boneless chicken wings tossed in a variety of proprietary rubs and sauces, such as Original Hot, Lemon Pepper, and Mango Habanero.

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