Switch to:

GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 6/10

vs
industry
vs
history
Cash to Debt 0.40
WEN's Cash to Debt is ranked higher than
50% of the 310 Companies
in the Global Restaurants industry.

( Industry Median: 0.83 vs. WEN: 0.40 )
WEN' s 10-Year Cash to Debt Range
Min: 0.08   Max: 44.04
Current: 0.4

0.08
44.04
Equity to Asset 0.44
WEN's Equity to Asset is ranked higher than
53% of the 306 Companies
in the Global Restaurants industry.

( Industry Median: 0.54 vs. WEN: 0.44 )
WEN' s 10-Year Equity to Asset Range
Min: -0.44   Max: 0.51
Current: 0.44

-0.44
0.51
Interest Coverage 1.96
WEN's Interest Coverage is ranked lower than
65% of the 244 Companies
in the Global Restaurants industry.

( Industry Median: 15.87 vs. WEN: 1.96 )
WEN' s 10-Year Interest Coverage Range
Min: 0.08   Max: 5.79
Current: 1.96

0.08
5.79
F-Score: 7
Z-Score: 1.33
M-Score: -2.84
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 5/10

vs
industry
vs
history
Operating margin (%) 5.43
WEN's Operating margin (%) is ranked higher than
64% of the 303 Companies
in the Global Restaurants industry.

( Industry Median: 6.84 vs. WEN: 5.43 )
WEN' s 10-Year Operating margin (%) Range
Min: -22.69   Max: 13.01
Current: 5.43

-22.69
13.01
Net-margin (%) 1.83
WEN's Net-margin (%) is ranked higher than
53% of the 303 Companies
in the Global Restaurants industry.

( Industry Median: 3.88 vs. WEN: 1.83 )
WEN' s 10-Year Net-margin (%) Range
Min: -26.32   Max: 529.48
Current: 1.83

-26.32
529.48
ROE (%) 2.36
WEN's ROE (%) is ranked lower than
52% of the 297 Companies
in the Global Restaurants industry.

( Industry Median: 9.80 vs. WEN: 2.36 )
WEN' s 10-Year ROE (%) Range
Min: -204.41   Max: 163.62
Current: 2.36

-204.41
163.62
ROA (%) 1.04
WEN's ROA (%) is ranked lower than
53% of the 304 Companies
in the Global Restaurants industry.

( Industry Median: 4.54 vs. WEN: 1.04 )
WEN' s 10-Year ROA (%) Range
Min: -10.33   Max: 43.27
Current: 1.04

-10.33
43.27
ROC (Joel Greenblatt) (%) 11.29
WEN's ROC (Joel Greenblatt) (%) is ranked higher than
58% of the 302 Companies
in the Global Restaurants industry.

( Industry Median: 18.40 vs. WEN: 11.29 )
WEN' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -23.37   Max: 53.73
Current: 11.29

-23.37
53.73
Revenue Growth (%) 3.90
WEN's Revenue Growth (%) is ranked higher than
66% of the 179 Companies
in the Global Restaurants industry.

( Industry Median: 7.00 vs. WEN: 3.90 )
WEN' s 10-Year Revenue Growth (%) Range
Min: -59.2   Max: 57.5
Current: 3.9

-59.2
57.5
EBITDA Growth (%) 3.50
WEN's EBITDA Growth (%) is ranked higher than
65% of the 148 Companies
in the Global Restaurants industry.

( Industry Median: 5.90 vs. WEN: 3.50 )
WEN' s 10-Year EBITDA Growth (%) Range
Min: -54.6   Max: 80.3
Current: 3.5

-54.6
80.3
EPS Growth (%) 40.10
WEN's EPS Growth (%) is ranked higher than
95% of the 137 Companies
in the Global Restaurants industry.

( Industry Median: 10.10 vs. WEN: 40.10 )
WEN' s 10-Year EPS Growth (%) Range
Min: -63.2   Max: 152
Current: 40.1

-63.2
152
» WEN's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q1 2013

WEN Guru Trades in Q1 2013

Steven Cohen 23,600 sh (New)
Murray Stahl 27,684,265 sh (+27.25%)
Mario Gabelli 120,710 sh (unchged)
John Burbank 10,001 sh (unchged)
Mason Hawkins 35,028,400 sh (-0.26%)
» More
Q2 2013

WEN Guru Trades in Q2 2013

Jim Simons 650,082 sh (New)
Paul Tudor Jones 63,200 sh (New)
Steven Cohen 105,980 sh (+349.07%)
Murray Stahl 29,136,922 sh (+5.25%)
Mario Gabelli 120,710 sh (unchged)
John Burbank Sold Out
Mason Hawkins 35,015,000 sh (-0.04%)
» More
Q3 2013

WEN Guru Trades in Q3 2013

John Keeley 89,500 sh (New)
Stanley Druckenmiller 2,000,000 sh (New)
Chuck Royce 103,200 sh (New)
Jim Simons 1,935,882 sh (+197.79%)
Mario Gabelli 120,710 sh (unchged)
Steven Cohen 400,000 sh (unchged)
Paul Tudor Jones Sold Out
Murray Stahl 27,774,433 sh (-4.68%)
Mason Hawkins 18,878,200 sh (-46.09%)
Steven Cohen 24,500 sh (-76.88%)
» More
Q4 2013

WEN Guru Trades in Q4 2013

Paul Tudor Jones 37,000 sh (New)
Joel Greenblatt 170,815 sh (New)
Jim Simons 2,102,282 sh (+8.6%)
Stanley Druckenmiller 2,000,000 sh (unchged)
Mario Gabelli 120,710 sh (unchged)
John Keeley Sold Out
Chuck Royce Sold Out
Steven Cohen Sold Out
Murray Stahl 26,408,824 sh (-4.92%)
Mason Hawkins 11,054,728 sh (-41.44%)
» More
» Details

Insider Trades

Latest Guru Trades with WEN

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Mason Hawkins 2013-12-31 Reduce -41.44%0.33%$8.05 - $9.23 $ 8.45-2%11054728
Joel Greenblatt 2013-12-31 New Buy0.04%$8.05 - $9.23 $ 8.45-2%170815
John Keeley 2013-12-31 Sold Out 0.01%$8.05 - $9.23 $ 8.45-2%0
Mason Hawkins 2013-09-30 Reduce -46.09%0.46%$5.86 - $8.62 $ 8.4512%18878200
John Keeley 2013-09-30 New Buy0.01%$5.86 - $8.62 $ 8.4512%89500
John Burbank 2013-06-30 Sold Out $5.34 - $6.14 $ 8.4546%0
Joel Greenblatt 2012-12-31 Sold Out 0.04%$4.14 - $4.81 $ 8.4589%0
John Burbank 2012-12-31 New Buy$4.14 - $4.81 $ 8.4589%10001
Joel Greenblatt 2012-09-30 Add 415.61%0.03%$4.25 - $4.8 $ 8.4586%116538
Joel Greenblatt 2012-03-31 Add 33.54%$4.69 - $5.43 $ 8.4577%26217
Leon Cooperman 2011-12-31 Sold Out 0.06%$4.45 - $5.51 $ 8.4568%0
John Keeley 2011-12-31 Sold Out 0.01%$4.45 - $5.51 $ 8.4568%0
Joel Greenblatt 2011-12-31 Add 29.56%$4.45 - $5.51 $ 8.4568%19632
Leon Cooperman 2011-09-30 Reduce -84.61%0.3%$4.42 - $5.59 $ 8.4567%470400
Joel Greenblatt 2011-09-30 New Buy0.01%$4.42 - $5.59 $ 8.4567%15153
John Keeley 2011-09-30 New Buy0.01%$4.42 - $5.59 $ 8.4567%112500
George Soros 2011-09-30 Sold Out 0.0056%$4.42 - $5.59 $ 8.4567%0
Leon Cooperman 2011-06-30 Add 693.61%0.31%$4.52 - $5.14 $ 8.4574%3057194
Mario Gabelli 2011-03-31 Reduce -58.66%$4.47 - $5.19 $ 8.4575%118610
Premium More recent guru trades are included for Premium Members only!!
» Interactive Charts

Peter Lynch Chart ( What is Peter Lynch Charts )

Top Ranked Articles about Wendy's Co

Buffett Highlights the GuruFocus Real Time Picks Update
The following information is a highlight of the real-time guru activity we saw this week. To view more information on these gurus, check out their guru portfolios. “Real Time Picks” reports the stock purchases and sells that Gurus have made within the prior two weeks. If a Guru makes a purchase or sell of a company in which they own a greater-than 5% stake, SEC regulations require them to report their transaction within two days. We saw notable real time activity from Warren Buffett, Mason Hawkins and John Rogers. [b] Read more...
Wendy's Reinvents Burgers and Fries Worldwide - Top Guru Mason Hawkins Chops
Wendy’s (WEN), the fast food restaurant, is seizing expansion opportunities worldwide. The company currently has seven billionaire investors on board, net income spiked to $12.2 million in the second quarter, and a major image transformation is in the works to drive brand acceleration. At the end of second quarter 2013, Mason Hawkins was Wendy’s top guru stakeholder with 8.9% of WEN shares outstanding. But as of today, he holds 4.8% of WEN. Read more...

Ratios

vs
industry
vs
history
P/E(ttm) 68.70
WEN's P/E(ttm) is ranked lower than
67% of the 261 Companies
in the Global Restaurants industry.

( Industry Median: 24.70 vs. WEN: 68.70 )
WEN' s 10-Year P/E(ttm) Range
Min: 14.01   Max: 1380
Current: 68.7

14.01
1380
P/B 1.71
WEN's P/B is ranked higher than
69% of the 288 Companies
in the Global Restaurants industry.

( Industry Median: 2.54 vs. WEN: 1.71 )
WEN' s 10-Year P/B Range
Min: 0.54   Max: 8.14
Current: 1.71

0.54
8.14
P/S 1.35
WEN's P/S is ranked lower than
55% of the 314 Companies
in the Global Restaurants industry.

( Industry Median: 1.10 vs. WEN: 1.35 )
WEN' s 10-Year P/S Range
Min: 0.12   Max: 1.62
Current: 1.35

0.12
1.62
PFCF 32.50
WEN's PFCF is ranked lower than
54% of the 158 Companies
in the Global Restaurants industry.

( Industry Median: 26.90 vs. WEN: 32.50 )
WEN' s 10-Year PFCF Range
Min: 0.7   Max: 504
Current: 32.5

0.7
504
EV-to-EBIT 29.70
WEN's EV-to-EBIT is ranked lower than
65% of the 277 Companies
in the Global Restaurants industry.

( Industry Median: 17.20 vs. WEN: 29.70 )
WEN' s 10-Year EV-to-EBIT Range
Min: 0.1   Max: 395.5
Current: 29.7

0.1
395.5
PEG 176.00
WEN's PEG is ranked lower than
71% of the 119 Companies
in the Global Restaurants industry.

( Industry Median: 2.76 vs. WEN: 176.00 )
WEN' s 10-Year PEG Range
Min: 0   Max: 213
Current: 176

0
213

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 2.25
WEN's Dividend Yield is ranked higher than
65% of the 197 Companies
in the Global Restaurants industry.

( Industry Median: 1.50 vs. WEN: 2.25 )
WEN' s 10-Year Dividend Yield Range
Min: 0.58   Max: 10.13
Current: 2.25

0.58
10.13
Dividend Payout 1.64
WEN's Dividend Payout is ranked lower than
72% of the 165 Companies
in the Global Restaurants industry.

( Industry Median: 0.37 vs. WEN: 1.64 )
WEN' s 10-Year Dividend Payout Range
Min: 0.94   Max: 6
Current: 1.64

0.94
6
Dividend growth (3y) 40.40
WEN's Dividend growth (3y) is ranked higher than
93% of the 82 Companies
in the Global Restaurants industry.

( Industry Median: 14.50 vs. WEN: 40.40 )
WEN' s 10-Year Dividend growth (3y) Range
Min: 0   Max: 40.4
Current: 40.4

0
40.4
Yield on cost (5-Year) 8.20
WEN's Yield on cost (5-Year) is ranked higher than
91% of the 201 Companies
in the Global Restaurants industry.

( Industry Median: 1.80 vs. WEN: 8.20 )
WEN' s 10-Year Yield on cost (5-Year) Range
Min: 2.16   Max: 37.76
Current: 8.2

2.16
37.76
Share Buyback Rate 2.30
WEN's Share Buyback Rate is ranked higher than
89% of the 167 Companies
in the Global Restaurants industry.

( Industry Median: -0.30 vs. WEN: 2.30 )
WEN' s 10-Year Share Buyback Rate Range
Min: 10.4   Max: -108.3
Current: 2.3

Valuation & Return

vs
industry
vs
history
Price/DCF (Projected) 1.51
WEN's Price/DCF (Projected) is ranked higher than
70% of the 127 Companies
in the Global Restaurants industry.

( Industry Median: 1.70 vs. WEN: 1.51 )
WEN' s 10-Year Price/DCF (Projected) Range
Min: 0.73   Max: 1.56
Current: 1.51

0.73
1.56
Price/Median PS Value 1.64
WEN's Price/Median PS Value is ranked lower than
67% of the 274 Companies
in the Global Restaurants industry.

( Industry Median: 1.23 vs. WEN: 1.64 )
WEN' s 10-Year Price/Median PS Value Range
Min: 0.09   Max: 10.18
Current: 1.64

0.09
10.18
Earnings Yield (Greenblatt) 3.40
WEN's Earnings Yield (Greenblatt) is ranked lower than
58% of the 281 Companies
in the Global Restaurants industry.

( Industry Median: 5.70 vs. WEN: 3.40 )
WEN' s 10-Year Earnings Yield (Greenblatt) Range
Min: 0.3   Max: 1119.4
Current: 3.4

0.3
1119.4
Forward Rate of Return (Yacktman) 0.41
WEN's Forward Rate of Return (Yacktman) is ranked higher than
56% of the 180 Companies
in the Global Restaurants industry.

( Industry Median: 9.39 vs. WEN: 0.41 )
WEN' s 10-Year Forward Rate of Return (Yacktman) Range
Min: -57.1   Max: 87.6
Current: 0.41

-57.1
87.6

Business Description

Industry: Restaurants » Restaurants
Compare:BH, CMG, MCD, DIN, SBUX » details
Traded in other countries:TQK.Germany
Wendy's Company was reincorporated in Delaware in June 1994. Wendy's Company (formerly, through July 4, 2011, Wendy's/Arby's Group, Inc.) is the parent company of its 100% owned subsidiary holding company, Wendy's Restaurants, LLC. On July 4, 2011, Wendy's Restaurants, LLC completed the sale of 100% of the common stock of its then wholly owned subsidiary, Arby's Restaurant Group, Inc. After this sale, the principal 100% owned subsidiary of Wendy's Restaurants is Wendy's International, Inc. and its subsidiaries. Wendy's franchises and operates company-owned Wendy's quick service restaurants specializing in hamburger sandwiches throughout the United States of America. Wendy's also has franchised restaurants in 27 foreign countries and U.S. territories. At January 1, 2012, Wendy's operated and franchised 1,417 and 5,177 restaurants, respectively. Each restaurant offers a relatively standard menu featuring hamburgers and filet of chicken breast sandwiches, which are prepared to order with the customer's choice of condiments. The menus also includes chicken nuggets, chili, baked and french fried potatoes, freshly prepared salads, soft drinks, milk, coffee, Frosty desserts and kids' meals. In addition, the restaurants sell a variety of promotional products on a limited time basis. The Company or its subsidiaries have registered certain trademarks and service marks in the United States Patent and Trademark Office and in international jurisdictions, some of which include Wendy's, Old Fashioned Hamburgers and Quality Is Our Recipe. Each restaurant is in competition with other food service operations within the same geographical area. The quick-service restaurant segment is highly competitive and includes well-established competitors. Wendy's competes with other restaurant companies and food outlets, primarily through the quality, variety, convenience, price, and value perception of food products offered. The Company also competes within the food service industry and the quick service restaurant sector not only for customers, but also for personnel, suitable real estate sites and qualified franchisees. The Company's past and present operations are governed by federal, state and local environmental laws and regulations concerning the discharge, storage, handling and disposal of hazardous or toxic substances.

Personalized Checklist








Within your circle of competence?
Macro economic environment favorable?
High quality business?
Enough margin of safety with stocks?
Gurus are buying?
Insiders are buying?
Management capable and shareholder friendly?
Catalyst for stock price to appreciate?
Your level of confidence with the research?

Add Notes, Comments or Ask Questions

User Comments

No comment yet

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK
Hide