Wingstop (WING) ended the recent trading session at $330.16, demonstrating a -1.17% change from the preceding day's closing price. This move lagged the S&P 500's daily gain of 0.28%. Elsewhere, the Dow gained 0.43%, while the tech-heavy Nasdaq added 0.09%.
The restaurant chain's stock has dropped by 12.32% in the past month, falling short of the Retail-Wholesale sector's gain of 0.87% and the S&P 500's gain of 4.37%.
Investors will be eagerly watching for the performance of Wingstop in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on July 30, 2025. On that day, Wingstop is projected to report earnings of $0.87 per share, which would represent a year-over-year decline of 6.45%. Our most recent consensus estimate is calling for quarterly revenue of $174.08 million, up 11.8% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $3.9 per share and a revenue of $730.74 million, demonstrating changes of +6.56% and +16.77%, respectively, from the preceding year.
Investors should also take note of any recent adjustments to analyst estimates for Wingstop. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Currently, Wingstop is carrying a Zacks Rank of #3 (Hold).
From a valuation perspective, Wingstop is currently exchanging hands at a Forward P/E ratio of 85.71. This expresses a premium compared to the average Forward P/E of 22.59 of its industry.
Meanwhile, WING's PEG ratio is currently 4.67. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Restaurants industry currently had an average PEG ratio of 2.64 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 160, which puts it in the bottom 36% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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Wingstop Inc. (WING): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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