UPDATE - UBS Downgraded Wendy's (WEN) to Neutral; Bullish on New CEO, But Continue to See Slowing Sales Momentum

UPDATE - UBS downgraded Wendy's (NASDAQ: WEN) from Buy to Neutral. PT cut from $6.30 to $5.50.

UBS analyst says, "We are lowering our 2012 EBITDA estimate as a result of 1) slowing sales momentum after the roll-out of the W burger, and 2) hamburger inflation. We are still forecasting above-consensus 4Q11 SSS growth of 5% and EBITDA of $85M (+17% YOY; cons $83M). This strength was based primarily on the strong initial demand of the Dave's Hot n' Juicy burgers and partly on a lull in beef inflation in 4Q. We believe sales and EBITDA growth is likely to slow in 1H12."

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