Barclays Maintains an 'Overweight' on Wendy's Co. (WEN); 2011 Guidance Intact...Growth Returns in '12
Tweet
Share
E-mailGet Alerts WEN Hot Sheet
Price: $9.01 +2.27%
Rating Summary:
13 Buy, 25 Hold, 5 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
13 Buy, 25 Hold, 5 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Join SI Premium – FREE
Barclays maintains an 'Overweight' on Wendy's Co. (NYSE: WEN) price target of $6.00.
Barclays analyst says, "2011 EBITDA guidance (pro forma ex Arby's) for flat growth was reiterated, following 2Q11 results that were in line with internal expectations. While the lack of growth is not inspiring, such is reflected in the valuation, with 2011 a 'transition year'. Importantly, looking to 2012, guidance is for a return to growth (10-15%), in line with long-term targets. While the macro remains challenging, we expect a return to growth achievable with benefit from improving comps, easing food costs, reduction in G&A to reflect the single brand portfolio, and excess cash to generate shareholder value. With growth potential above QSR peers and yet trading at a discount to such peers, we remain bullish on the turnaround."
For more ratings news on Wendy's Co. click here and for the rating history of Wendy's Co. click here.
Shares of Wendy's Co. closed at $4.97 yesterday.
Barclays analyst says, "2011 EBITDA guidance (pro forma ex Arby's) for flat growth was reiterated, following 2Q11 results that were in line with internal expectations. While the lack of growth is not inspiring, such is reflected in the valuation, with 2011 a 'transition year'. Importantly, looking to 2012, guidance is for a return to growth (10-15%), in line with long-term targets. While the macro remains challenging, we expect a return to growth achievable with benefit from improving comps, easing food costs, reduction in G&A to reflect the single brand portfolio, and excess cash to generate shareholder value. With growth potential above QSR peers and yet trading at a discount to such peers, we remain bullish on the turnaround."
For more ratings news on Wendy's Co. click here and for the rating history of Wendy's Co. click here.
Shares of Wendy's Co. closed at $4.97 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Barclays Downgrades Renault SA (RNO:FP) (RNSDF) to Equalweight
- DA Davidson Starts Everus (ECG) at Buy
- Cummins (CMI) PT Lowered to $675 at Jefferies
Create E-mail Alert Related Categories
Analyst CommentsRelated Entities
BarclaysSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
