J.P. Morgan Securities downgraded WEN to "neutral" from "overweight"
Wendy's Co (NASDAQ:WEN) stock hit a 17-month low this morning, after a downgrade from J.P. Morgan Securities to "neutral" from "overweight," with a price-target cut to $19 from $22. The firm noted a rise in promotional activities at restaurants, saying it could hamper the stock in the coming year.
Last week's fourth-quarter results miss and disappointing annual forecast still appears to be on analysts' minds, as no fewer than nine have slashed their price objectives since then, including two just yesterday. The current 12-month consensus price target of $21.36 still sits at a premium to current levels, however.
WEN has since pared its morning losses that sent it to its lowest levels since July 2022, up 0.3% at $18.02 at last glance. Still, the equity is on track for its eighth weekly drop in the last 10 weeks, down 7.6% year to date and 20% year over year.