Dallas, Texas 10/17/2013 (Financialstrend) – The earnings season is just round the corner and investors in the stock of $3.34 billion restaurant and fast food chain The Wendy’s Co (NASDAQ:WEN) would be closely reading a report brought out by Hedgeye. The analysts firm tracks restaurant results. Its reports are ambivalent about the prospects of revenue from restaurant operations in the third quarter of the year. The report had referenced the dispirited results announced by Domino’s Pizza to underscore its point of rough weather ahead for restaurant stock holders. The depressed forecast is also being credited to the 15 day government shut down which analysts felt would impact the spending pattern of families as they tighten their belts to tide over the situation.
Wendy’s share holders would take heart from the fact that the restaurant chain has been proactive about its business so far. In the first week of October the sandwich and burger maker had introduced a new item on to its menu. This was introduced as “Pretzel Pub Chicken sandwich” in select stores. The launch of a new item follows outstanding success it had tasted when it had introduced Pretzel Bacon Cheeseburger. Observing the runaway success of the burger launch the ratings firm Janney has gone out on a limb to predict a small uptake in Wendy’s same-store sales when it reports its 3Q numbers.
As of October 16 close of business, the stock was trading at $8.5 per share. This was 1.67% above its previous day close and represents a 113% increase in market value over its 52 week low pricing. In the past week, it has appreciated by 4.42% and by an impressive 107% over the last 12 months. Additionally, share holders have been rewarded by the restaurant chain by dividend payouts amounting to $0.2 per share over the trailing 12 months.