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The Wendy's Co (The Wendy's Co) Shiller PE Ratio

: 20.68 (As of Today)
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As of today (2024-04-16), The Wendy's Co's current share price is $18.82. The Wendy's Co's E10 for the quarter that ended in Dec. 2023 was $0.91. The Wendy's Co's Shiller PE Ratio for today is 20.68.

The historical rank and industry rank for The Wendy's Co's Shiller PE Ratio or its related term are showing as below:

WEN' s Shiller PE Ratio Range Over the Past 10 Years
Min: 19.8   Med: 37.5   Max: 226.63
Current: 20.68

During the past years, The Wendy's Co's highest Shiller PE Ratio was 226.63. The lowest was 19.80. And the median was 37.50.

WEN's Shiller PE Ratio is ranked better than
62.14% of 140 companies
in the Restaurants industry
Industry Median: 28.745 vs WEN: 20.68

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

The Wendy's Co's adjusted earnings per share data for the three months ended in Dec. 2023 was $0.230. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $0.91 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


The Wendy's Co Shiller PE Ratio Historical Data

The historical data trend for The Wendy's Co's Shiller PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

The Wendy's Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Shiller PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 44.29 40.04 35.39 28.30 21.40

The Wendy's Co Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Shiller PE Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 28.30 26.19 25.16 22.66 21.40

Competitive Comparison

For the Restaurants subindustry, The Wendy's Co's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


The Wendy's Co Shiller PE Ratio Distribution

For the Restaurants industry and Consumer Cyclical sector, The Wendy's Co's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where The Wendy's Co's Shiller PE Ratio falls into.



The Wendy's Co Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

The Wendy's Co's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=18.82/0.91
=20.68

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The Wendy's Co's E10 for the quarter that ended in Dec. 2023 is calculated as:

For example, The Wendy's Co's adjusted earnings per share data for the three months ended in Dec. 2023 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=0.23/129.4194*129.4194
=0.230

Current CPI (Dec. 2023) = 129.4194.

The Wendy's Co Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201403 0.120 99.695 0.156
201406 0.080 100.560 0.103
201409 0.060 100.428 0.077
201412 0.060 99.070 0.078
201503 0.070 99.621 0.091
201506 0.110 100.684 0.141
201509 0.030 100.392 0.039
201512 0.310 99.792 0.402
201603 0.090 100.470 0.116
201606 0.098 101.688 0.125
201609 0.180 101.861 0.229
201612 0.110 101.863 0.140
201703 0.090 102.862 0.113
201706 -0.010 103.349 -0.013
201709 0.060 104.136 0.075
201712 0.640 104.011 0.796
201803 0.080 105.290 0.098
201806 0.120 106.317 0.146
201809 1.600 106.507 1.944
201812 0.080 105.998 0.098
201903 0.140 107.251 0.169
201906 0.140 108.070 0.168
201909 0.200 108.329 0.239
201912 0.110 108.420 0.131
202003 0.060 108.902 0.071
202006 0.110 108.767 0.131
202009 0.170 109.815 0.200
202012 0.170 109.897 0.200
202103 0.180 111.754 0.208
202106 0.290 114.631 0.327
202109 0.180 115.734 0.201
202112 0.240 117.630 0.264
202203 0.170 121.301 0.181
202206 0.220 125.017 0.228
202209 0.240 125.227 0.248
202212 0.190 125.222 0.196
202303 0.190 127.348 0.193
202306 0.280 128.729 0.282
202309 0.280 129.860 0.279
202312 0.230 129.419 0.230

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


The Wendy's Co  (NAS:WEN) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


The Wendy's Co Shiller PE Ratio Related Terms

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The Wendy's Co (The Wendy's Co) Business Description

Traded in Other Exchanges
Address
One Dave Thomas Boulevard, Dublin, OH, USA, 43017
The Wendy's Company is the second-largest burger quick-service restaurant, or QSR, chain in the United States by systemwide sales, with $11.7 billion in 2022, narrowly edging Burger King ($10.3 billion) and clocking in well behind wide-moat McDonald's ($48.1 billion). After divestitures of Tim Hortons (2006) and Arby's (2011), the firm manages just the burger banner, generating sales across a footprint that spanned almost 7,100 total units in 30 countries as of year-end 2022. Wendy's generates revenue from the sale of hamburgers, chicken sandwiches, salads, and fries throughout its company-owned footprint, through franchise royalty and marketing fund payments remitted by its franchisees, which account for 94% of stores, and through franchise flipping and advisory fees.
Executives
Joseph A Levato director C/O THE WENDY'S COMPANY, ONE DAVE THOMAS BLVD., DUBLIN OH 43017
Trian Fund Management, L.p. other: Schedule 13D Filer 280 PARK AVENUE, 41ST FLOOR, NEW YORK NY 10017
Kenneth W Gilbert director C/O THE WENDY'S COMPANY, ONE DAVE THOMAS BLVD., DUBLIN OH 43017
Michelle Caruso-cabrera director C/O THE WENDY'S COMPANY, ONE DAVE THOMAS BLVD., DUBLIN OH 43017
Liliana Esposito officer: Chief Communications Officer ONE DAVE THOMAS BLVD., DUBLIN OH 43017
Nelson Peltz director, 10 percent owner, officer: Chairman and CEO 223 SUNSET AVENUE, PALM BEACH FL 33480
Edward P Garden officer: Executive Vice President 223 SUNSET AVENUE, PALM BEACH FL 33480
Peter W May director, 10 percent owner, officer: President and COO 223 SUNSET AVENUE, PALM BEACH FL 33480
Matthew H. Peltz director 280 PARK AVENUE, 41ST FLOOR, NEW YORK NY 10017
Trian Partners Master Fund, L.p. other: Schedule 13D Filer 280 PARK AVENUE, 41ST FLOOR, NEW YORK NY 10017
Deepak Ajmani officer: Chief Operations Officer - U.S C/O THE WENDY'S COMPANY, ONE DAVE THOMAS BLVD., DUBLIN OH 43017
Juan Carlos Loredo officer: Global Chief Marketing Officer C/O THE WENDY'S COMPANY, ONE DAVE THOMAS BLVD., DUBLIN OH 43017
Suzanne M. Thuerk officer: Chief Accounting Officer ONE DAVE THOMAS BLVD., C/O THE WENDY'S COMPANY, DUBLIN OH 43017
Richard H. Gomez director 1000 NICOLLET MALL, MINNEAPOLIS MN 55403
O'brien Matthew Coley officer: Chief People Officer ONE DAVE THOMAS BLVD., DUBLIN OH 43017