1-Star Price
INVESTOR
5-Star Price
INVESTOR
Economic Moat
INVESTOR
Capital Allocation
INVESTOR
After a solid but unspectacular quarter that saw no-moat Wendy's maintain its full-year guidance and the medium-term targets it laid out on its fourth-quarter earnings call, we don't expect any material changes to our $23.50 fair value estimate, leaving shares fairly priced.
The Wendy’s Company is the second-largest burger quick-service restaurant, or QSR, chain in the United States by systemwide sales, with $11.7 billion in 2022, narrowly edging Burger King ($10.3 billion) and clocking in well behind wide-moat McDonald’s ($48.1 billion). After divestitures of Tim Hortons (2006) and Arby’s (2011), the firm manages just the burger banner, generating sales across a footprint that spanned almost 7,100 total units in 30 countries as of year-end 2022. Wendy’s generates revenue from the sale of hamburgers, chicken sandwiches, salads, and fries throughout its company-owned footprint, through franchise royalty and marketing fund payments remitted by its franchisees, which account for 94% of stores, and through franchise flipping and advisory fees.
Morningstar analysts hand-select direct competitors or comparable companies to provide context on the strength and durability of WEN’s competitive advantage.
The Wendy's Co Class A
XNAS: WEN
| McDonald's Corp
XNYS: MCD
| Yum Brands Inc
XNYS: YUM
| Restaurant Brands International Inc
XTSE: QSR
| |
Price
| 22.01 | 285.11 | 128.69 | 98.56 |
Currency
| USD | USD | USD | CAD |
Change
| −$0.22 (0.99%) | +$0.19 (0.07%) | +$0.90 (0.70%) | +$0.12 (0.12%) |
Market Cap
| 4.64 Bil | 208.16 Bil | 36.04 Bil | 30.68 Bil |
Industry
| Restaurants | Restaurants | Restaurants | Restaurants |
Sector
|
Consumer Cyclical
|
Consumer Cyclical
|
Consumer Cyclical
|
Consumer Cyclical
|
* Trading data in this section is delayed by at least 15 minutes.
Yes. WEN has a forward dividend yield of 4.55%.
See
WEN’s full dividends and stock split history
on the Dividend tab.
Dividend yield allows investors, particularly those interested in dividend-paying stocks,
to compare the relationship between a stock’s price and how it rewards stockholders through dividends.
The formula for calculating dividend yield is to divide the annual dividend paid per share by the stock price.
Learn more about dividend yield.
WEN’s market cap is 4.64 Bil.
Market capitalization is calculated by taking a company’s share price and multiplying it by the total number of shares.
It’s often used to measure a company’s size. In the Morningstar Style Box, large-cap names account for the
largest 70% of U.S. stocks, mid-cap names account for the largest 70–90%, and small-cap names are the remaining 10% of companies.
Learn more about market capitalization.
WEN’s stock style is Small Core.
Style is an investment factor that has a meaningful impact on investment risk and returns.
Style is calculated by combining value and growth scores, which are first individually calculated.
High-growth stocks tend to represent the technology, healthcare, and communications sectors. They rarely distribute dividends to shareholders, opting for reinvestment in their businesses. More value-oriented stocks tend to represent financial services, utilities, and energy stocks. These are established companies that reliably pay dividends.
Learn more about style.
WEN’s price/sales is 2.21.
Price/sales represents the amount an investor is willing to pay for a dollar generated from
a particular company’s sales or revenues.
WEN’s price/forward earnings is 26.18.
Forward P/E gives some indication of how cheap or expensive a stock is compared with consensus earnings estimates.
The lower the Forward P/E, the cheaper the stock.
WEN’s price/book is 11.11.
Price/book ratio can tell investors approximately how much they’re paying for a company’s assets,
based on historical, rather than current, valuations. Historical valuations generally do not reflect
a company’s current market value. Value investors frequently look for companies that have low price/book ratios.
See WEN’s valuation ratios compared to the Market Index.
WEN’s beta can be found in Trading Information at the top of this page.
A stock’s beta measures how closely tied its price movements have been to the performance of the overall market.
Compare WEN’s historical performance against its industry peers and the overall market.
