Tigress Financial Reiterates Wendy's Company At Buy

Ivan Feinseth of Tigress Financial on Friday reiterated a Buy rating on

as the company continues to execute well on its shareholder value-creation strategy. Feinseth notes that same-restaurant-sales have been positive for five consecutive quarters, and expectations are that the company's top-line will benefit from positive macroeconomic conditions for consumers. Feinseth adds that the company's efforts to “right-size” its operations has resulted in a 14.79 percent drop in revenue. However, management's “A Cut Above” strategy which generates a $1 premium over core products is driving impressive improvements in EBITDAR and NOPAT margins. Finally, the analyst states that the company's plans to become less capital-intensive and its ongoing divestitures of company-owned stores will “significantly” improve its Economic Profit and Economic Profit Spread in the coming years.