WENDY'S CO/THE (WEN) Stock Fundamental Analysis

NASDAQ:WEN • US95058W1009

7.66 USD
-0.08 (-1.03%)
At close: Feb 27, 2026
7.6985 USD
+0.04 (+0.5%)
After Hours: 2/27/2026, 8:00:02 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

Overall WEN gets a fundamental rating of 4 out of 10. We evaluated WEN against 125 industry peers in the Hotels, Restaurants & Leisure industry. While WEN is still in line with the averages on profitability rating, there are concerns on its financial health. WEN is cheap, but on the other hand it scores bad on growth. WEN also has an excellent dividend rating.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • WEN had positive earnings in the past year.
  • WEN had a positive operating cash flow in the past year.
  • Of the past 5 years WEN 4 years were profitable.
  • WEN had a positive operating cash flow in 4 of the past 5 years.
WEN Yearly Net Income VS EBIT VS OCF VS FCFWEN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M

1.2 Ratios

  • Looking at the Return On Assets, with a value of 3.74%, WEN is in line with its industry, outperforming 57.94% of the companies in the same industry.
  • The Return On Equity of WEN (170.42%) is better than 99.21% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 6.67%, WEN is in line with its industry, outperforming 55.56% of the companies in the same industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for WEN is significantly below the industry average of 10.88%.
  • The last Return On Invested Capital (6.67%) for WEN is above the 3 year average (5.43%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 3.74%
ROE 170.42%
ROIC 6.67%
ROA(3y)3.68%
ROA(5y)3.46%
ROE(3y)59.67%
ROE(5y)49.27%
ROIC(3y)5.43%
ROIC(5y)5.17%
WEN Yearly ROA, ROE, ROICWEN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60

1.3 Margins

  • WEN has a Profit Margin of 8.43%. This is in the better half of the industry: WEN outperforms 69.05% of its industry peers.
  • WEN's Profit Margin has improved in the last couple of years.
  • The Operating Margin of WEN (17.49%) is better than 75.40% of its industry peers.
  • In the last couple of years the Operating Margin of WEN has remained more or less at the same level.
  • WEN has a better Gross Margin (62.41%) than 77.78% of its industry peers.
  • WEN's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 17.49%
PM (TTM) 8.43%
GM 62.41%
OM growth 3Y-1.47%
OM growth 5Y0.74%
PM growth 3Y-6.44%
PM growth 5Y1.55%
GM growth 3Y-1.04%
GM growth 5Y0.27%
WEN Yearly Profit, Operating, Gross MarginsWEN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

1

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so WEN is still creating some value.
  • There is no outstanding debt for WEN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
WEN Yearly Shares OutstandingWEN Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M
WEN Yearly Total Debt VS Total AssetsWEN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

2.2 Solvency

  • Based on the Altman-Z score of 0.97, we must say that WEN is in the distress zone and has some risk of bankruptcy.
  • WEN has a Altman-Z score of 0.97. This is in the lower half of the industry: WEN underperforms 65.08% of its industry peers.
  • The Debt to FCF ratio of WEN is 14.24, which is on the high side as it means it would take WEN, 14.24 years of fcf income to pay off all of its debts.
  • WEN's Debt to FCF ratio of 14.24 is in line compared to the rest of the industry. WEN outperforms 49.21% of its industry peers.
  • A Debt/Equity ratio of 26.89 is on the high side and indicates that WEN has dependencies on debt financing.
  • The Debt to Equity ratio of WEN (26.89) is worse than 74.60% of its industry peers.
Industry RankSector Rank
Debt/Equity 26.89
Debt/FCF 14.24
Altman-Z 0.97
ROIC/WACC1.06
WACC6.28%
WEN Yearly LT Debt VS Equity VS FCFWEN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

2.3 Liquidity

  • WEN has a Current Ratio of 0.81. This is a bad value and indicates that WEN is not financially healthy enough and could expect problems in meeting its short term obligations.
  • WEN has a Current ratio of 0.81. This is in the lower half of the industry: WEN underperforms 61.90% of its industry peers.
  • WEN has a Quick Ratio of 0.81. This is a bad value and indicates that WEN is not financially healthy enough and could expect problems in meeting its short term obligations.
  • WEN has a worse Quick ratio (0.80) than 60.32% of its industry peers.
Industry RankSector Rank
Current Ratio 0.81
Quick Ratio 0.8
WEN Yearly Current Assets VS Current LiabilitesWEN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

2

3. Growth

3.1 Past

  • WEN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.00%.
  • Measured over the past years, WEN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.32% on average per year.
EPS 1Y (TTM)-11%
EPS 3Y0.76%
EPS 5Y9.32%
EPS Q2Q%-36%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-5.45%

3.2 Future

  • The Earnings Per Share is expected to grow by 6.90% on average over the next years.
  • Based on estimates for the next years, WEN will show a small growth in Revenue. The Revenue will grow by 1.75% on average per year.
EPS Next Y-2.11%
EPS Next 2Y1.88%
EPS Next 3Y8.22%
EPS Next 5Y6.9%
Revenue Next Year2.15%
Revenue Next 2Y1.61%
Revenue Next 3Y1.85%
Revenue Next 5Y1.75%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
WEN Yearly Revenue VS EstimatesWEN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 500M 1B 1.5B 2B 2.5B
WEN Yearly EPS VS EstimatesWEN Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 0.5 1 1.5

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Find the best growth stocksShow best growing peers

7

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 8.61, which indicates a very decent valuation of WEN.
  • 92.86% of the companies in the same industry are more expensive than WEN, based on the Price/Earnings ratio.
  • Compared to an average S&P500 Price/Earnings ratio of 27.07, WEN is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 8.79, the valuation of WEN can be described as reasonable.
  • WEN's Price/Forward Earnings ratio is rather cheap when compared to the industry. WEN is cheaper than 91.27% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of WEN to the average of the S&P500 Index (28.05), we can say WEN is valued rather cheaply.
Industry RankSector Rank
PE 8.61
Fwd PE 8.79
WEN Price Earnings VS Forward Price EarningsWEN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • WEN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. WEN is cheaper than 78.57% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, WEN is valued cheaper than 97.62% of the companies in the same industry.
Industry RankSector Rank
P/FCF 6.13
EV/EBITDA 8.3
WEN Per share dataWEN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10

4.3 Compensation for Growth

  • WEN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.92
EPS Next 2Y1.88%
EPS Next 3Y8.22%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

7

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 7.05%, WEN is a good candidate for dividend investing.
  • Compared to an average industry Dividend Yield of 1.10, WEN pays a better dividend. On top of this WEN pays more dividend than 99.21% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.82, WEN pays a better dividend.
Industry RankSector Rank
Dividend Yield 7.05%

5.2 History

  • On average, the dividend of WEN grows each year by 32.37%, which is quite nice.
  • WEN has been paying a dividend for at least 10 years, so it has a reliable track record.
  • WEN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)32.37%
Div Incr Years0
Div Non Decr Years4
WEN Yearly Dividends per shareWEN Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6 0.8

5.3 Sustainability

  • 82.75% of the earnings are spent on dividend by WEN. This is not a sustainable payout ratio.
  • WEN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP82.75%
EPS Next 2Y1.88%
EPS Next 3Y8.22%
WEN Yearly Income VS Free CF VS DividendWEN Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M
WEN Dividend Payout.WEN Dividend Payout, showing the Payout Ratio.WEN Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

WENDY'S CO/THE

NASDAQ:WEN (2/27/2026, 8:00:02 PM)

After market: 7.6985 +0.04 (+0.5%)

7.66

-0.08 (-1.03%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)02-13
Earnings (Next)04-30
Inst Owners90.93%
Inst Owner Change4.91%
Ins Owners8.88%
Ins Owner Change0.18%
Market Cap1.46B
Revenue(TTM)N/A
Net Income(TTM)186.09M
Analysts56.11
Price Target8.37 (9.27%)
Short Float %18.09%
Short Ratio4.39
Dividend
Industry RankSector Rank
Dividend Yield 7.05%
Yearly Dividend1
Dividend Growth(5Y)32.37%
DP82.75%
Div Incr Years0
Div Non Decr Years4
Ex-Date03-02
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.95%
Min EPS beat(2)12.55%
Max EPS beat(2)21.35%
EPS beat(4)3
Avg EPS beat(4)8.99%
Min EPS beat(4)-0.22%
Max EPS beat(4)21.35%
EPS beat(8)4
Avg EPS beat(8)3.46%
EPS beat(12)8
Avg EPS beat(12)3.73%
EPS beat(16)11
Avg EPS beat(16)3.25%
Revenue beat(2)1
Avg Revenue beat(2)0.62%
Min Revenue beat(2)-0.56%
Max Revenue beat(2)1.8%
Revenue beat(4)2
Avg Revenue beat(4)0.19%
Min Revenue beat(4)-1.35%
Max Revenue beat(4)1.8%
Revenue beat(8)3
Avg Revenue beat(8)-0.68%
Revenue beat(12)4
Avg Revenue beat(12)-0.8%
Revenue beat(16)5
Avg Revenue beat(16)-0.87%
PT rev (1m)-15%
PT rev (3m)-18.49%
EPS NQ rev (1m)-0.74%
EPS NQ rev (3m)-2.36%
EPS NY rev (1m)-0.25%
EPS NY rev (3m)1.9%
Revenue NQ rev (1m)-0.2%
Revenue NQ rev (3m)-0.6%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)1.2%
Valuation
Industry RankSector Rank
PE 8.61
Fwd PE 8.79
P/S 0.66
P/FCF 6.13
P/OCF 4.24
P/B 13.35
P/tB N/A
EV/EBITDA 8.3
EPS(TTM)0.89
EY11.62%
EPS(NY)0.87
Fwd EY11.37%
FCF(TTM)1.25
FCFY16.31%
OCF(TTM)1.81
OCFY23.59%
SpS11.6
BVpS0.57
TBVpS-9.68
PEG (NY)N/A
PEG (5Y)0.92
Graham Number3.39
Profitability
Industry RankSector Rank
ROA 3.74%
ROE 170.42%
ROCE 9.23%
ROIC 6.67%
ROICexc 7.17%
ROICexgc 14.39%
OM 17.49%
PM (TTM) 8.43%
GM 62.41%
FCFM 10.77%
ROA(3y)3.68%
ROA(5y)3.46%
ROE(3y)59.67%
ROE(5y)49.27%
ROIC(3y)5.43%
ROIC(5y)5.17%
ROICexc(3y)6.13%
ROICexc(5y)5.72%
ROICexgc(3y)11.48%
ROICexgc(5y)10.67%
ROCE(3y)7.51%
ROCE(5y)7.16%
ROICexgc growth 3Y6.48%
ROICexgc growth 5Y7.52%
ROICexc growth 3Y6.19%
ROICexc growth 5Y7.2%
OM growth 3Y-1.47%
OM growth 5Y0.74%
PM growth 3Y-6.44%
PM growth 5Y1.55%
GM growth 3Y-1.04%
GM growth 5Y0.27%
F-Score6
Asset Turnover0.44
Health
Industry RankSector Rank
Debt/Equity 26.89
Debt/FCF 14.24
Debt/EBITDA 5.35
Cap/Depr 65.2%
Cap/Sales 4.8%
Interest Coverage 250
Cash Conversion 62.65%
Profit Quality 127.8%
Current Ratio 0.81
Quick Ratio 0.8
Altman-Z 0.97
F-Score6
WACC6.28%
ROIC/WACC1.06
Cap/Depr(3y)59.99%
Cap/Depr(5y)58.81%
Cap/Sales(3y)4.06%
Cap/Sales(5y)4.05%
Profit Quality(3y)119.97%
Profit Quality(5y)135.28%
High Growth Momentum
Growth
EPS 1Y (TTM)-11%
EPS 3Y0.76%
EPS 5Y9.32%
EPS Q2Q%-36%
EPS Next Y-2.11%
EPS Next 2Y1.88%
EPS Next 3Y8.22%
EPS Next 5Y6.9%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-5.45%
Revenue Next Year2.15%
Revenue Next 2Y1.61%
Revenue Next 3Y1.85%
Revenue Next 5Y1.75%
EBIT growth 1Y7%
EBIT growth 3Y4.25%
EBIT growth 5Y6.41%
EBIT Next Year39.08%
EBIT Next 3Y8.63%
EBIT Next 5Y8.17%
FCF growth 1Y-6.95%
FCF growth 3Y-0.86%
FCF growth 5Y4.01%
OCF growth 1Y-0.84%
OCF growth 3Y0.91%
OCF growth 5Y4.22%

WENDY'S CO/THE / WEN FAQ

What is the fundamental rating for WEN stock?

ChartMill assigns a fundamental rating of 4 / 10 to WEN.


What is the valuation status for WEN stock?

ChartMill assigns a valuation rating of 7 / 10 to WENDY'S CO/THE (WEN). This can be considered as Undervalued.


How profitable is WENDY'S CO/THE (WEN) stock?

WENDY'S CO/THE (WEN) has a profitability rating of 6 / 10.


What are the PE and PB ratios of WENDY'S CO/THE (WEN) stock?

The Price/Earnings (PE) ratio for WENDY'S CO/THE (WEN) is 8.61 and the Price/Book (PB) ratio is 13.35.


How sustainable is the dividend of WENDY'S CO/THE (WEN) stock?

The dividend rating of WENDY'S CO/THE (WEN) is 7 / 10 and the dividend payout ratio is 82.75%.