On Oct 31, major Wall Street analysts update their ratings for $Wingstop (WING.US)$, with price targets ranging from $330 to $468.
Barclays analyst Jeff Bernstein maintains with a buy rating, and maintains the target price at $380.
Oppenheimer analyst Michael Tamas maintains with a hold rating.
BTIG analyst Peter Saleh upgrades to a buy rating, and sets the target price at $370.
Wedbush analyst Nick Setyan maintains with a buy rating, and adjusts the target price from $440 to $390.
Truist Financial analyst Jake Bartlett maintains with a hold rating, and adjusts the target price from $423 to $330.
Furthermore, according to the comprehensive report, the opinions of $Wingstop (WING.US)$'s main analysts recently are as follows:
Wingstop's third-quarter performance, although not meeting the high expectations, remained robust with a 21% increase driven by customer traffic. Additionally, the enhancement of the 2024 unit guidance underlines the strong demand from franchisees. The recent dip in stock value following the earnings announcement is seen as a buying opportunity, given Wingstop's sustained compound growth of over 40% across a three-year span.
The recent drop in Wingstop's share price post-Q3 results is seen as excessive. Analysts believe that Wingstop stands out in the industry, with the potential to outperform in transaction growth in the short, medium, and long term, regardless of the economic environment. It is also anticipated that Wingstop will continue to surpass in same-store sales growth, which should fuel top-tier unit economics, leading to a ramp-up in unit expansion and sustained EBITDA growth that exceeds the company's existing long-term projections.
The post-earnings decline in Wingstop's shares has been deemed an attractive entry point for long-term investors who can overlook the detailed scrutiny over quarterly guidance implications. Wingstop's robust brand identity and abundant resources are well-positioned to enhance same-store sales, bolstered by strategies such as heightened advertising, menu diversification with the introduction of chicken sandwiches or tenders, and promotional activities like the boneless bundle. Additionally, there is a possibility for management to raise the royalty rate on new units, unlocking further earnings potential.
Here are the latest investment ratings and price targets for $Wingstop (WING.US)$ from 7 analysts:
Note:
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