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Wendy’s Co (NASDAQ:WEN) shares tumbled to a 52-week low of $11.69, marking a steep 30.3% decline over the past six months. While InvestingPro analysis suggests the stock is currently trading near Fair Value, the company maintains strong fundamentals with a healthy current ratio of 1.49 and an impressive 23-year track record of consistent dividend payments. The stock’s latest dip underscores a significant downturn over the past year, with the company experiencing a 1-year change of -34.47%. Investors are closely monitoring Wendy’s performance as it navigates through operational headwinds and evolving consumer preferences. Despite challenges, the company maintains profitability with a gross margin of 35.24% and an EBITDA of $516.29M. For deeper insights into Wendy’s financial health and growth prospects, investors can access the comprehensive Pro Research Report available on InvestingPro, which includes additional expert analysis and actionable intelligence.
In other recent news, Wendy’s reported first-quarter earnings for 2025, meeting market expectations with an adjusted earnings per share of $0.20. However, the company has revised its full-year 2025 guidance downward, citing macroeconomic challenges and weaker-than-expected same-store sales. Despite maintaining its global unit growth projections, Wendy’s anticipates modest declines in comparable store sales. Analyst firms have responded with adjustments to their outlooks: Guggenheim downgraded Wendy’s from Buy to Neutral, while BMO reduced its price target to $15.00 but retained a Market Perform rating. UBS maintained a Neutral rating with a $14.00 price target, highlighting the need for Wendy’s to strengthen its U.S. same-store sales trends. Loop Capital cut its price target to $21 but upheld a Buy rating, citing confidence in Wendy’s long-term value proposition despite short-term sales challenges. Evercore ISI also lowered its price target to $15.00, maintaining an In Line rating and forecasting slower growth in same-store sales for the upcoming quarters. These developments reflect the current market conditions and strategic adjustments as Wendy’s navigates the competitive landscape.
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