Wingstop (WING) Shares Look Fully Valued - Longbow

Longbow Research analyst Alton Stump reiterated a Neutral rating on Wingstop (NASDAQ: WING) and believes shares are fully valued after the 40% appreciation this year. The company reported impressive same store sales growth in Q1 and generates impressive store-level returns but the bigger picture is clouded by the company’s unit growth profile is slowing.

The analyst stated "Based on our analysis, we believe the valuation already reflects the next five years of EBITDA growth". "WING’s pace of unit growth slowed globally from high-teens growth 24 months ago to just over 10% last year, which implies the concept is at mid-cycle rather than
early-cycle unit growth".

For an analyst ratings summary and ratings history on Wingstop click here. For more ratings news on Wingstop click here.

Shares of Wingstop closed at $90.44 yesterday.

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