Wendy's Adjusts Financial Forecasts Amid Mixed Q2 Earnings

Author: Dylan Bailey Updated: 08-11-2025 10:33 AM

Wendy's Earnings Report Review

Wendy's Company (NASDAQ: WEN) recently revealed its second-quarter earnings, which surpassed expectations and showcased the brand's resilience in a competitive market.

Quarterly Performance Highlights

The fast-food giant announced an adjusted earnings per share of 29 cents, slightly above the analysts' consensus estimate of 26 cents. However, their quarterly sales tallied up to $560.929 million. This figure fell short by 1.7% compared to the previous year, yet still exceeded the Street's projection of $560.363 million.

Wendy's Expansion Efforts

CEO Ken Cook provided insights into the company's growth strategies, stating, "In the second quarter, we continued to expand our global footprint. We successfully opened 44 new restaurants, bringing our total additions for the first half of the year to 118." Wendy's international business has demonstrated notable momentum, achieving 8.7% systemwide sales growth during the quarter.

Revised Future Outlook

Despite the positive momentum, Wendy's announced a revised fiscal year 2025 outlook for adjusted EPS, setting a new range of 82 to 89 cents, down from the initial forecast of 92 to 98 cents. This adjustment brought it below the consensus estimate of 95 cents. Additionally, the company projected adjusted EBITDA to be between $505 million to $525 million, a downward revision from the earlier range of $530 million to $545 million.

Market Reaction

Following this earnings announcement, Wendy's shares experienced a modest increase of 2.8%, rising to $10.38.

Analysts Adjust Price Targets

In light of these developments, several analysts have made amendments to their price targets for Wendy's stock.

Stephens & Co. analyst Jim Salera maintained an Equal-Weight rating with a lower price target revised from $13 to $11.
JP Morgan's analyst John Ivankoe kept an Overweight rating, adjusting the price target from $15 to $13.
Truist Securities analyst Jake Bartlett maintained a Buy rating while cutting the price target from $14 to $13.

Analyst Perspectives on WEN Stock

Wendy's stock remains a topic of interest among investors. Many are keen to know how these changes will influence the company's strategic direction moving forward.

Frequently Asked Questions

What are the recent earnings results for Wendy's?

Wendy's reported an adjusted EPS of 29 cents for the latest quarter, beating the expectation of 26 cents.

How did Wendy's sales perform this quarter?

Quarterly sales reached $560.929 million, although this reflects a 1.7% decrease compared to the previous year.

What was the stock's reaction after the earnings report?

The stock saw a 2.8% increase, closing at $10.38 following the announcement.

Are there any changes in Wendy's price targets?

Yes, analysts have adjusted their price targets, with some lowering their expectations based on the latest earnings.

What is Wendy's future outlook for EPS?

The company revised its fiscal year 2025 EPS outlook to 82-89 cents, which is below previous estimates.

About The Author

My name is Dylan Bailey, and I am 28 years old. I am an author and an expert on the stock market who specializes in publicly traded companies. Early fascination with the stock market inspired me to seek a finance degree and then delve deeply into the world of stocks. I have developed over the years my abilities to spot investment prospects, assess business performance, and analyze market trends.

My books and articles try to help regular investors understand the nuances of the stock market. Anyone can, in my opinion, make wise investment choices and succeed financially if they have the correct information and resources. In my writing, I combine in-depth research with practical insights and advice that can be put into action. This is done with the intention of assisting readers in navigating the constantly shifting landscape of publicly traded companies.

In addition to writing, I also host webinars and workshops, where I give presentations and share my knowledge with a wider audience. I also write for top financial journals and show up as a guest analyst on financial news shows. I like to travel, spend time with my family, and keep active by playing different sports when I'm not buried in market research.

My goal is to enable people to choose wisely and consciously in their investments, so taking charge of their financial futures. By my work, I hope to create a community of informed and self-assured investors prepared to take advantage of the chances presented by the stock market.

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