Raymond James raises Fulgent Genetics stock price target to $36 on strong performance
Investing.com - Raymond James has lowered its price target on Wingstop (NASDAQ:WING) to $325.00 from $350.00 while maintaining a Strong Buy rating on the stock. The current stock price of $237.32 sits well below this target, with analyst price targets ranging from $185 to $430, according to InvestingPro data.
The adjustment follows Wingstop’s softer third-quarter results and fourth-quarter guidance, which the firm attributes to macroeconomic pressures affecting lower and middle-income consumers as well as Hispanic customers. Despite these challenges, the company maintained 15.56% revenue growth in the last twelve months, though InvestingPro data shows 17 analysts have recently revised their earnings expectations downward.
Despite the near-term challenges, Raymond James notes that management expressed confidence regarding the benefits of Smart Kitchens, with the Southwest region and company-owned units significantly outperforming other locations.
The firm also highlighted strong franchisee demand for new unit openings, which has supported Wingstop’s raised unit growth targets of 19% in 2025, with a commitment to mid-teens percentage growth the following year.
Raymond James expressed optimism that this could be the final expectations reset for Wingstop, with trends potentially improving into 2026 supported by Smart Kitchens implementation, the launch of a new loyalty program by the end of the second quarter of 2026, and easier year-over-year comparisons.
In other recent news, Wingstop reported its third-quarter 2025 financial results, showcasing a notable earnings performance. The company achieved earnings per share (EPS) of $1.09, surpassing analyst expectations of $0.92, which represents a 17.2% surprise. This earnings beat was attributed to favorable general and administrative expenses and significant unit growth, despite softer comparable sales. However, Wingstop’s revenue for the quarter was slightly below expectations, coming in at $175.5 million compared to the projected $187.37 million. In light of these results, BMO Capital adjusted its price target for Wingstop, lowering it from $345.00 to $280.00 while maintaining a Market Perform rating. The price target reduction reflects a softer outlook for comparable sales. These developments highlight Wingstop’s strategic growth initiatives and financial performance in the recent quarter.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.