Zacks Research Forecasts Wendy’s’ Q1 Earnings (NASDAQ:WEN)

The Wendy’s Company (NASDAQ:WEN) – Analysts at Zacks Research reduced their Q1 2026 EPS estimates for shares of Wendy’s in a research note issued to investors on Friday, February 27th. Zacks Research analyst Team now expects that the restaurant operator will post earnings of $0.13 per share for the quarter, down from their prior forecast of $0.18. Zacks Research has a “Hold” rating on the stock. The consensus estimate for Wendy’s’ current full-year earnings is $0.99 per share. Zacks Research also issued estimates for Wendy’s’ Q2 2026 earnings at $0.18 EPS, Q3 2026 earnings at $0.15 EPS, Q4 2026 earnings at $0.14 EPS, Q1 2027 earnings at $0.15 EPS, Q2 2027 earnings at $0.21 EPS, Q3 2027 earnings at $0.16 EPS, Q4 2027 earnings at $0.17 EPS and FY2028 earnings at $0.75 EPS.

Several other research firms have also recently weighed in on WEN. Evercore set a $8.00 target price on shares of Wendy’s in a research note on Tuesday, February 17th. Stifel Nicolaus set a $8.00 target price on shares of Wendy’s in a report on Monday, February 16th. Royal Bank Of Canada decreased their price target on Wendy’s from $8.50 to $8.00 and set a “sector perform” rating on the stock in a research report on Tuesday, February 17th. Mizuho reduced their price target on shares of Wendy’s from $8.00 to $7.00 and set an “underperform” rating on the stock in a research report on Friday, January 9th. Finally, UBS Group decreased their price objective on Wendy’s from $8.50 to $7.50 and set a “neutral” rating on the stock in a research report on Tuesday, February 17th. One investment analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, sixteen have given a Hold rating and five have issued a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $9.30.

Wendy’s Trading Down 1.0%

Shares of Wendy’s stock opened at $7.66 on Monday. The company has a current ratio of 1.76, a quick ratio of 1.74 and a debt-to-equity ratio of 28.77. The company has a market cap of $1.46 billion, a price-to-earnings ratio of 9.01, a PEG ratio of 2.16 and a beta of 0.38. The company’s fifty day simple moving average is $8.07 and its 200-day simple moving average is $8.77. Wendy’s has a 1 year low of $6.73 and a 1 year high of $15.83.

Wendy’s (NASDAQ:WEN) last posted its quarterly earnings data on Friday, February 13th. The restaurant operator reported $0.16 EPS for the quarter, topping analysts’ consensus estimates of $0.14 by $0.02. The business had revenue of $439.60 million for the quarter, compared to analyst estimates of $537.11 million. Wendy’s had a return on equity of 145.93% and a net margin of 7.58%.The firm’s revenue for the quarter was down 5.5% on a year-over-year basis. During the same period in the previous year, the company posted $0.25 earnings per share. Wendy’s has set its FY 2026 guidance at 0.560-0.600 EPS.

Wendy’s Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, March 16th. Investors of record on Monday, March 2nd will be issued a dividend of $0.14 per share. This represents a $0.56 dividend on an annualized basis and a dividend yield of 7.3%. The ex-dividend date is Monday, March 2nd. Wendy’s’s dividend payout ratio (DPR) is presently 65.88%.

Institutional Investors Weigh In On Wendy’s

Several institutional investors have recently bought and sold shares of WEN. Elevation Point Wealth Partners LLC acquired a new position in Wendy’s during the 2nd quarter worth approximately $25,000. Investors Research Corp acquired a new position in shares of Wendy’s during the 3rd quarter worth approximately $27,000. Versant Capital Management Inc increased its holdings in shares of Wendy’s by 19,693.8% in the third quarter. Versant Capital Management Inc now owns 3,167 shares of the restaurant operator’s stock valued at $29,000 after purchasing an additional 3,151 shares during the last quarter. MassMutual Private Wealth & Trust FSB increased its holdings in shares of Wendy’s by 205.0% in the third quarter. MassMutual Private Wealth & Trust FSB now owns 3,257 shares of the restaurant operator’s stock valued at $30,000 after purchasing an additional 2,189 shares during the last quarter. Finally, Hilton Head Capital Partners LLC bought a new position in shares of Wendy’s in the fourth quarter valued at about $30,000. Institutional investors own 85.96% of the company’s stock.

Wendy’s News Roundup

Here are the key news stories impacting Wendy’s this week:

• Positive Sentiment: Planned closures to improve profitability — Wendy’s will close roughly 5–6% of U.S. locations in 2026 as it reshapes its footprint, while selectively opening new units around Sarasota; trimming underperforming restaurants should improve margins and unit-level returns. Wendy’s closing up to 6% …
• Positive Sentiment: Activist/strategic upside — long-time large shareholder Nelson Peltz is publicly weighing options to enhance value (including possible M&A or other actions). That raises the chance of shareholder‑friendly moves that could support a valuation re-rate. Wendy’s Is Down Sharply—Is the Dividend a Bargain or Value Trap?
• Neutral Sentiment: High yield but mixed sustainability — the dividend yields roughly 7.2% after a 2025 cut; MarketBeat notes the payout (~$106M) appears affordable under guidance but the payout ratio (~66%) and lower free cash flow add uncertainty for income‑focused investors. Wendy’s Is Down Sharply—Is the Dividend a Bargain or Value Trap?
• Neutral Sentiment: Featured in dividend roundups — included in lists of high-yield names, which can attract income investors but also signal elevated risk; this may provide episodic buying interest but not steady support. Five Dividends Up to 15% …
• Negative Sentiment: Very weak same-store sales and cautious guidance — Q4 results beat on EPS but same-store sales fell to the worst level in ~20 years; FY‑2026 guidance (adjusted EPS 0.56–0.60, down sharply) and lowered FCF targets indicate near-term earnings and cash flow pressure.
• Negative Sentiment: Analyst cuts and Hold stance — Zacks has trimmed multiple quarterly and annual EPS estimates across 2026–2028 and keeps a “Hold” view, signaling that sell‑side expectations are moving lower and reducing near-term analyst support.
• Negative Sentiment: Technical/market sentiment is weak — stock sits near its 52‑week low, has been in a prolonged downtrend and faces technical resistance around the 20‑day/50‑day moving averages, making a convincing rebound less likely without fundamental improvement. Wendy’s Is Down Sharply—Is the Dividend a Bargain or Value Trap?

Wendy’s Company Profile

The Wendy’s Company (NASDAQ:WEN) operates as a global quick-service restaurant chain, best known for its square-shaped beef patties, fresh ingredient sourcing and signature Frosty dessert. The company’s menu features a variety of hamburgers, chicken sandwiches, salads, breakfast sandwiches, sides and beverages, designed to appeal to a broad customer base seeking both classic and contemporary fast-food options. Wendy’s has placed particular emphasis on product innovation, introducing limited-time offerings and revamped core menu items to maintain customer interest and respond to evolving dining trends.

Founded in 1969 by entrepreneur Dave Thomas in Columbus, Ohio, Wendy’s expanded rapidly through both company-owned and franchised outlets.