Wendy's (WEN) Tops Q2 Earnings and Revenue Estimates

Company Performance - Wendy's reported quarterly earnings of $0.29 per share, exceeding the Zacks Consensus Estimate of $0.25 per share, and up from $0.27 per share a year ago, representing an earnings surprise of +16.00% [1] - The company posted revenues of $560.93 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 0.97%, although this is a decrease from year-ago revenues of $570.73 million [2] - Over the last four quarters, Wendy's has surpassed consensus EPS estimates two times and topped consensus revenue estimates three times [2] Stock Performance and Outlook - Wendy's shares have declined approximately 38.9% since the beginning of the year, contrasting with the S&P 500's gain of 7.8% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the coming quarter is $0.25 on revenues of $557.94 million, and for the current fiscal year, it is $0.93 on revenues of $2.2 billion [7] Industry Context - The Retail - Restaurants industry, to which Wendy's belongs, is currently ranked in the bottom 27% of over 250 Zacks industries, indicating potential challenges for stock performance [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Wendy's stock performance [5]