Wendy's (WEN) Competitors

Brinker International (NYSE:EAT) and Wendy's (NASDAQ:WEN) are both mid-cap retail/wholesale companies, but which is the superior stock? We will compare the two businesses based on the strength of their dividends, media sentiment, valuation, institutional ownership, analyst recommendations, community ranking, profitability, risk and earnings.

Does the MarketBeat Community believe in EAT or WEN?

Wendy's received 29 more outperform votes than Brinker International when rated by MarketBeat users. Likewise, 62.27% of users gave Wendy's an outperform vote while only 57.61% of users gave Brinker International an outperform vote.

Company	Underperform	Outperform
Brinker International	Outperform Votes 712 57.61%	Underperform Votes 524 42.39%
Wendy's	Outperform Votes 741 62.27%	Underperform Votes 449 37.73%

Is EAT or WEN more profitable?

Wendy's has a net margin of 8.65% compared to Brinker International's net margin of 5.45%. Brinker International's return on equity of 879.47% beat Wendy's' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Brinker International	5.45%	879.47%	11.82%
Wendy's	8.65%	75.56%	4.03%

Do analysts rate EAT or WEN?

Brinker International presently has a consensus price target of $141.14, suggesting a potential downside of 6.66%. Wendy's has a consensus price target of $16.34, suggesting a potential upside of 33.13%. Given Wendy's' stronger consensus rating and higher probable upside, analysts clearly believe Wendy's is more favorable than Brinker International.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brinker International	0 Sell rating(s)	13 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.24
Wendy's	2 Sell rating(s)	12 Hold rating(s)	5 Buy rating(s)	2 Strong Buy rating(s)	2.33

Is EAT or WEN a better dividend stock?

Brinker International pays an annual dividend of $1.52 per share and has a dividend yield of 1.0%. Wendy's pays an annual dividend of $0.56 per share and has a dividend yield of 4.6%. Brinker International pays out 21.0% of its earnings in the form of a dividend. Wendy's pays out 59.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Do institutionals & insiders believe in EAT or WEN?

86.0% of Wendy's shares are held by institutional investors. 1.7% of Brinker International shares are held by company insiders. Comparatively, 17.0% of Wendy's shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Does the media prefer EAT or WEN?

In the previous week, Brinker International and Brinker International both had 25 articles in the media. Brinker International's average media sentiment score of 1.11 beat Wendy's' score of 0.39 indicating that Brinker International is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Brinker International	15 Very Positive mention(s)	1 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Wendy's	8 Very Positive mention(s)	1 Positive mention(s)	10 Neutral mention(s)	3 Negative mention(s)	2 Very Negative mention(s)	Neutral

Which has more risk & volatility, EAT or WEN?

Brinker International has a beta of 1.66, meaning that its stock price is 66% more volatile than the S&P 500. Comparatively, Wendy's has a beta of 0.4, meaning that its stock price is 60% less volatile than the S&P 500.

Which has stronger valuation and earnings, EAT or WEN?

Wendy's has lower revenue, but higher earnings than Brinker International. Wendy's is trading at a lower price-to-earnings ratio than Brinker International, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brinker International	$5.13B	1.31	$155.30M	$7.25	20.86
Wendy's	$2.24B	1.05	$194.36M	$0.94	13.06

Summary

Wendy's beats Brinker International on 11 of the 20 factors compared between the two stocks.