Wingstop (NASDAQ:WING) Trading Down 6.4% – What’s Next?

Wingstop Inc. (NASDAQ:WING)’s share price dropped 6.4% during mid-day trading on Tuesday . The stock traded as low as $108.10 and last traded at $107.3340. Approximately 163,846 shares changed hands during trading, a decline of 86% from the average session volume of 1,161,886 shares. The stock had previously closed at $114.71.

Analyst Ratings Changes

A number of equities research analysts recently commented on the company. Wells Fargo & Company lowered their price target on Wingstop from $170.00 to $165.00 and set an “overweight” rating for the company in a research report on Thursday, July 30th. Morgan Stanley cut their price objective on shares of Wingstop from $255.00 to $238.00 and set an “overweight” rating on the stock in a report on Thursday, July 30th. Piper Sandler set a $173.00 target price on shares of Wingstop in a research note on Wednesday, July 29th. Bank of America lowered their target price on shares of Wingstop from $264.00 to $234.00 and set a “buy” rating for the company in a report on Wednesday, June 24th. Finally, TD Cowen dropped their price target on shares of Wingstop from $160.00 to $120.00 and set a “hold” rating on the stock in a research report on Friday, September 11th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating, five have given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat, Wingstop presently has an average rating of “Moderate Buy” and a consensus price target of $240.33.

Wingstop Stock Up 0.2%

The company has a market capitalization of $2.75 billion, a PE ratio of 24.00, a P/E/G ratio of 1.20 and a beta of 1.79. The stock has a 50-day moving average of $123.27 and a 200 day moving average of $152.90.

Wingstop (NASDAQ:WING) last posted its quarterly earnings data on Wednesday, July 29th. The restaurant operator reported $1.18 earnings per share for the quarter, topping the consensus estimate of $1.02 by $0.16. Wingstop had a negative return on equity of 16.31% and a net margin of 16.15%.The business had revenue of $185.56 million for the quarter, compared to analysts’ expectations of $190.25 million. During the same quarter in the previous year, the firm earned $1.00 earnings per share. The business’s revenue was up 6.5% on a year-over-year basis. Equities analysts forecast that Wingstop Inc. will post 4.5 EPS for the current fiscal year.

Wingstop Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Saturday, September 5th. Investors of record on Saturday, August 15th were issued a $0.33 dividend. This is an increase from Wingstop’s previous quarterly dividend of $0.30. The ex-dividend date of this dividend was Friday, August 14th. This represents a $1.32 dividend on an annualized basis and a dividend yield of 1.3%. Wingstop’s payout ratio is presently 31.35%.

Institutional Trading of Wingstop

A number of large investors have recently added to or reduced their stakes in WING. Sequoia Financial Advisors LLC bought a new stake in Wingstop in the second quarter worth about $246,000. Tidal Investments LLC grew its position in shares of Wingstop by 48.7% during the 2nd quarter. Tidal Investments LLC now owns 2,235 shares of the restaurant operator’s stock valued at $388,000 after acquiring an additional 732 shares during the period. Darsana Capital Partners LP increased its stake in shares of Wingstop by 20.0% during the 2nd quarter. Darsana Capital Partners LP now owns 1,500,000 shares of the restaurant operator’s stock worth $260,115,000 after purchasing an additional 250,000 shares during the last quarter. Nykredit A S purchased a new stake in shares of Wingstop during the 2nd quarter worth approximately $152,000. Finally, Corient Private Wealth LP raised its holdings in shares of Wingstop by 43.5% in the 2nd quarter. Corient Private Wealth LP now owns 1,965 shares of the restaurant operator’s stock worth $341,000 after purchasing an additional 596 shares during the period.

About Wingstop

Wingstop Inc is a fast-casual restaurant company specializing in cooked-to-order chicken wings and tenders. Its menu also includes fries, seasoned fries, dipping sauces, and beverages, with offerings built around a range of signature flavors and sauces. The company primarily operates through a franchise-based model.

Wingstop was founded in 1994 in Garland, Texas, and has expanded from its original location into a global restaurant brand. Its restaurants serve customers across the United States and in international markets through a network of franchised and company-operated locations.

Wingstop became a publicly traded company in 2015.