Fast-food chain Wendy’s (NASDAQ:WEN) will be announcing earnings results tomorrow before the bell. Here’s what to expect.
Wendy’s beat analysts’ revenue expectations by 2.1% last quarter, reporting revenues of $574.3 million, up 6.2% year on year. It was a very strong quarter for the company, with an impressive beat of analysts’ same-store sales estimates and a decent beat of analysts’ EBITDA estimates.
Is Wendy’s a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Wendy’s revenue to decline 1.9% year on year to $524.9 million, a reversal from the 1.1% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.20 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Wendy’s has missed Wall Street’s revenue estimates five times over the last two years.
Looking at Wendy’s peers in the traditional fast food segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Starbucks delivered year-on-year revenue growth of 2.3%, missing analysts’ expectations by 0.6%, and Yum! Brands reported revenues up 11.8%, falling short of estimates by 2.6%. Starbucks traded down 5.7% following the results.
Read our full analysis of Starbucks’s results here and Yum! Brands’s results here.
Debates around the economy’s health and the impact of potential tariffs and corporate tax cuts have caused much uncertainty in 2025. While some of the traditional fast food stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 6.9% on average over the last month. Wendy’s is down 14.7% during the same time and is heading into earnings with an average analyst price target of $15.98 (compared to the current share price of $12.50).
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