Wingstop (NASDAQ:WING) Shares Down 6% on Analyst Downgrade

Wingstop Inc. (NASDAQ:WING)’s share price was down 6% on Monday after Wall Street Zen downgraded the stock from a hold rating to a sell rating. The company traded as low as $169.70 and last traded at $167.32. 45,721 shares changed hands during trading, a decline of 96% from the average daily volume of 1,140,806 shares. The stock had previously closed at $177.99.

Other equities research analysts have also issued research reports about the company. Mizuho set a $280.00 price objective on Wingstop in a research note on Friday, June 5th. Stifel Nicolaus reduced their target price on Wingstop from $325.00 to $250.00 and set a “buy” rating for the company in a research note on Thursday, March 26th. Wells Fargo & Company reduced their target price on Wingstop from $225.00 to $200.00 and set an “overweight” rating for the company in a research note on Thursday, April 30th. BNP Paribas Exane assumed coverage on shares of Wingstop in a research report on Monday, March 30th. They set an “outperform” rating and a $275.00 price target for the company. Finally, Wolfe Research initiated coverage on shares of Wingstop in a research note on Monday, March 9th. They issued an “outperform” rating and a $320.00 price target for the company. Two research analysts have rated the stock with a Strong Buy rating, twenty-four have assigned a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, Wingstop currently has a consensus rating of “Moderate Buy” and an average price target of $260.89.

Hedge Funds Weigh In On Wingstop

Large investors have recently added to or reduced their stakes in the company. SBI Securities Co. Ltd. increased its stake in Wingstop by 76.9% during the fourth quarter. SBI Securities Co. Ltd. now owns 138 shares of the restaurant operator’s stock valued at $33,000 after purchasing an additional 60 shares during the last quarter. Rakuten Securities Inc. lifted its position in shares of Wingstop by 197.9% in the 4th quarter. Rakuten Securities Inc. now owns 143 shares of the restaurant operator’s stock worth $34,000 after buying an additional 95 shares during the last quarter. GW&K Investment Management LLC lifted its position in shares of Wingstop by 75.7% in the 4th quarter. GW&K Investment Management LLC now owns 188 shares of the restaurant operator’s stock worth $45,000 after buying an additional 81 shares during the last quarter. Geneos Wealth Management Inc. boosted its holdings in shares of Wingstop by 121.4% in the 1st quarter. Geneos Wealth Management Inc. now owns 217 shares of the restaurant operator’s stock valued at $49,000 after buying an additional 119 shares during the period. Finally, Mcguire Capital Advisors Inc. acquired a new position in shares of Wingstop in the 4th quarter valued at about $63,000.

Wingstop Trading Down 6.4%

The business’s 50-day moving average is $152.00 and its two-hundred day moving average is $203.12. The firm has a market cap of $4.54 billion, a P/E ratio of 41.69, a P/E/G ratio of 2.14 and a beta of 1.79.

Wingstop (NASDAQ:WING) last issued its earnings results on Wednesday, April 29th. The restaurant operator reported $1.18 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.02 by $0.16. Wingstop had a net margin of 15.77% and a negative return on equity of 16.22%. The firm had revenue of $183.72 million for the quarter, compared to analysts’ expectations of $187.82 million. During the same quarter last year, the company posted $0.99 earnings per share. Wingstop’s revenue was up 7.4% on a year-over-year basis. On average, analysts anticipate that Wingstop Inc. will post 4.57 earnings per share for the current year.

Wingstop Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, June 5th. Investors of record on Friday, May 15th were issued a $0.30 dividend. The ex-dividend date of this dividend was Friday, May 15th. This represents a $1.20 annualized dividend and a dividend yield of 0.7%. Wingstop’s dividend payout ratio (DPR) is 29.85%.

Wingstop Company Profile

Wingstop Inc (NASDAQ: WING) is a fast-casual restaurant chain specializing in chicken wings and related menu items. Founded in 1994 in Garland, Texas, the company has built its brand around bold, chef-inspired wing flavors and a streamlined service model that caters to dine-in, takeout, delivery and catering orders.

The company’s core offerings include both bone-in and boneless chicken wings tossed in a variety of proprietary rubs and sauces, such as Original Hot, Lemon Pepper, and Mango Habanero.