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Wingstop (WING) closed the latest trading day at $235.96, indicating a -0.19% change from the previous session's end. This change lagged the S&P 500's 0.67% gain on the day. Meanwhile, the Dow gained 0.56%, and the Nasdaq, a tech-heavy index, added 0.87%.
The the stock of restaurant chain has risen by 3% in the past month, leading the Retail-Wholesale sector's loss of 6.91% and the S&P 500's loss of 5.28%.
Analysts and investors alike will be keeping a close eye on the performance of Wingstop in its upcoming earnings disclosure. The company is expected to report EPS of $0.84, down 14.29% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $171.18 million, up 17.41% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $3.66 per share and revenue of $732.01 million, which would represent changes of 0% and +16.97%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Wingstop. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.93% decrease. Wingstop is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Wingstop is holding a Forward P/E ratio of 64.57. This represents a premium compared to its industry's average Forward P/E of 23.03.
One should further note that WING currently holds a PEG ratio of 3.77. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Restaurants industry currently had an average PEG ratio of 2.15 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 187, putting it in the bottom 25% of all 250+ industries.