Wendy's Introduces New Salad - Analyst Blog

The Wendy's Company WEN has kept its trend of introducing new salads for the summer season. The restaurant chain recently introduced the Strawberry Fields Chicken Salad for a limited period of time. The full-size offering of the salad costs $6.49, while the half-sized one has a price tag of $4.49.

Wendy's' Strawberry Fields Chicken Salad features California strawberries, blue cheese, red onions, sunflower seeds, chopped chicken breast and lettuce. It also comes with a Marzetti Simply Dressed Apple Balsamic Vinaigrette made with apple juice, bacon, balsamic vinegar, shallots and Dijon mustard.

Wendy's is revamping its salad line to strengthen its position in the highly competitive fast-food industry. Customers looking for healthy and low-carbohydrate options — key targets for Wendy's — prefer salads. In fact, in March this year, Wendy's introduced two salads with additional fresh vegetables — Asian cashew chicken and BBQ ranch chicken salads — besides revamping its Garden Side Salad. In our view, the low fat levels and the attractive price range of these salads will attract customers.

Lately, the U.S. eateries are serving a healthier menu to cater to consumer preferences for fresh, organic, nutritious and low-calorie food. This has also prompted some restaurant chains to offer gluten-free (wheat-free) products. Though not exactly lower in calories, these food items provide alternative choices for people with dietary restrictions. Such restaurant chains include Domino's Pizza Inc. DPZ, which offers gluten-free crusts, and Dunkin' Donuts owned by Dunkin' Brands Group Inc. DNKN offering gluten-free pastries in some markets.

Wendy's currently carries a Zacks Rank #3 (Hold). A better-ranked stock in the same sector is Buffalo Wild Wings Inc. BWLD, which sports a Zacks Rank #1 (Strong Buy).

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