Loading...
Loading...
Nomura analyst Mark Kalinowski raised his first quarter same store sales forecast for Wendys Co
after "favorable" channel checks, sending its shares up 1 percent.
The analyst, who has a Buy rating on Wendy's, increased his first quarter same-store sales projection for the company-owned restaurants by 30 basis points (bp) to +3.5%, which is 40bp above the consensus number at +3.1%.
Kalinowski also raised his first quarter comps view for the franchised side of Wendy's by 100bp to +4.2%, a new sell-side high forecast in this regard, according to Consensus Metrix data. The consensus sell-side estimate is at +3.1%.
"Based on our channel checks, we believe that Wendy's "4 for $4" bundled meal continues to prove popular, particularly in those geographic parts of the U.S. typically characterized as being "higher cost-of-living" areas," Kalinowski wrote in a note to clients.
"Incidentally, it appears from our channel checks that the start of March was also favorable for Wendy's, which is another reason for our raised Q1 same-store sales projections," Kalinowski added.
The company is expected to announce its first quarter results on May 11. Analysts' consensus estimate calls for earnings of 6 cents a share on revenue of $352.11 million.
The analyst has a price target of $12.5 on WEN stock, which is up 1 percent at $9.47. WEN shares have declined about 12 percent this year.
Loading...
Loading...
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in