Yahoo Finance Wingstop (WING) Stock Falls Amid Market Uptick: What Investors Need to Know
Wingstop (WING) closed at $406.80 in the latest trading session, marking a -1.02% move from the prior day. The stock's performance was behind the S&P 500's daily gain of 0.23%. Meanwhile, the Dow experienced a drop of 0.17%, and the technology-dominated Nasdaq saw an increase of 0.34%.
Heading into today, shares of the restaurant chain had gained 5.6% over the past month, outpacing the Retail-Wholesale sector's gain of 0.79% and the S&P 500's gain of 3.96% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Wingstop in its upcoming earnings disclosure. On that day, Wingstop is projected to report earnings of $0.78 per share, which would represent year-over-year growth of 36.84%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $140.7 million, up 31.29% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $3.39 per share and a revenue of $586.51 million, demonstrating changes of +36.69% and +27.49%, respectively, from the preceding year.
Any recent changes to analyst estimates for Wingstop should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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, the Zacks Consensus EPS estimate has remained steady. Wingstop presently features a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Wingstop is presently being traded at a Forward P/E ratio of 121.24. This signifies a premium in comparison to the average Forward P/E of 19.39 for its industry.
Investors should also note that WING has a PEG ratio of 5.27 right now. 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 had an average PEG ratio of 1.73 as trading concluded yesterday.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 144, positioning it in the bottom 43% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Wingstop Inc. (WING) : Free Stock Analysis Report
