Jim Cramer on Wendy's: "It's Not Very Comforting"

The Wendy’s Company (NASDAQ:WEN) is one of the stocks on Jim Cramer’s radar. Discussing how tariff news has overshadowed corporate news, Cramer mentioned the company and said:

“There are major corporate events that are being completely ignored. Classic example, the big, Wednesday shake up the other day. We came in yesterday and we saw that CEO Kirk Tanner’s leaving his job at Wendy’s, headed to Hershey. The news broke at the same time that Trump was unleashing his next volley of tariffs. Tanner leaving Wendy’s is one of the most significant moves I’ve seen lately in corporate America, yet people didn’t even bother to look at it. Big mistake.

First, it called to light how troubled Wendy’s might be. We know that they cut the dividend not that long ago, 44% slice, 25 cents down to 14 cents. Lots of people had been buying the stock because of its large dividend. Now, with Tanner out all of a sudden, we have a company with almost $2.8 billion in debt and only $2.2 billion in market capitalization. In the uber-competitive fast food market, we have to wonder what the heck is going on. But I’ll tell you, it’s not very comforting.”

Wendy’s (NASDAQ:WEN) operates and franchises quick-service restaurants focused on hamburger sandwiches and manages a portfolio of owned and leased real estate.

While we acknowledge the potential of WEN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.