Here's Why Wendy's (WEN) is a Strong Value Stock

Core Insights - The Zacks Premium service provides tools for investors to enhance their stock market engagement and confidence through daily updates, research reports, and stock screens [1] - The Zacks Style Scores categorize stocks into Value, Growth, Momentum, and a combined VGM Score, helping investors identify stocks with the best potential for market outperformance [2][3] Zacks Style Scores - Value Score: Focuses on identifying undervalued stocks using financial ratios like P/E and Price/Sales [2] - Growth Score: Evaluates stocks based on future earnings and financial health, targeting sustainable growth [2] - Momentum Score: Assesses stocks based on price trends and earnings estimate changes, aiding in timing investments [2] - VGM Score: Combines Value, Growth, and Momentum scores for a comprehensive evaluation of stocks [3] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors, with 1 (Strong Buy) stocks historically yielding an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [4] - A total of over 800 stocks can be rated as 1 or 2, making it essential for investors to utilize Style Scores to refine their selections [4][5] Stock Highlight: Wendy's (WEN) - Wendy's operates 7,248 restaurants globally and is ranked 3 (Hold) with a VGM Score of A, indicating solid performance potential [6] - The company has a Value Style Score of B, supported by a forward P/E ratio of 16.9, making it attractive for value investors [6] - Recent analyst revisions have increased the earnings estimate for fiscal 2024 to $1 per share, with an average earnings surprise of 1.2% [6][7]