Wendy’s (WEN.US) shares fell nearly 10.0% during today's session after the restaurant chain reported disappointing first quarter figures caused by increased competition amid supply and labor constraints.
-
Company earned $0.17 per share, slightly missing analysts' estimates of $0.16 per share;
-
Revenue of $488.64 million rose 6.2% compared to the prior year, however missed Wall Street projections of $497.91 million;
-
Growth of global same-store restaurant sales slowed to 2.4% as compared to a double-digit rise in the prior year.
-
"We are well positioned to win in this volatile environment, with strong franchisee alignment behind our strategies, and have strengthened our balance sheet with the successful debt raise transaction we recently completed," said Wendy's President and CEO Todd Penegor.
-
The company will pay a quarterly cash dividend of 12.5 cents per share on June 15th.
-
Despite negative Q1 results, Wendy's expects sales increase in the region of 6% to 8% in 2022, with adjusted earnings per share for the year predicted to be between $0.82 and $0.86.
Wendy’s (WEN.US) stock plunged over 33.0% since the beginning of 2022 and price is currently approaching major support around 15.60 which is marked with 61.8% Fibonacci retracement of the upward wave launched in March 2020. Source: xStation5
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile appThis content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
