---
title: Wendy's (WEN) — intrinsic value and fair price
canonical: https://sweetvaluelab.com/stocks/wen
ticker: WEN
as_of: 2026-10-27
sector: Consumer Cyclical
industry: Restaurants
---
# Wendy's (WEN)

Wendy's (WEN) closed at $6.19 on Oct 26, 2026, undervalued by 78% vs its model value of $28.36 (from a five-year discounted cash flow).

## Key figures

| Figure | Value |
| --- | ---: |
| Last close | $6.19 (Oct 26, 2026) |
| Model value (from a five-year discounted cash flow) | $28.36 |
| Price vs model | undervalued by 78% vs model |
| Range of that model | $3.17 – $64.13 |
| Market value | $1.2B |
| P/E (fiscal 2025) | 7.3 |
| Net margin (fiscal 2025) | 7.6% |
| Free cash flow (fiscal 2025) | $242.6M |
| Dividend yield (trailing twelve months) | 7.94% |
| Beta | 0.41 |
| Cost of capital (WACC) | 5.00% |
| Business classification | Dividend Payer (Revenue declining (~-0% recent), Moderate margins (8% net margin), Strong dividend yield, Highly cyclical earnings, High leverage (D/E 35.3x), Strong FCF yield (20.6%)) |

## On the stock lists

| List | Place | Figure | Page |
| --- | ---: | ---: | --- |
| Highest dividend yield | #1 | 7.94% | https://sweetvaluelab.com/lists/highest-dividend-yield |
| Highest free cash flow yield | #6 | 20.6% | https://sweetvaluelab.com/lists/highest-free-cash-flow-yield |
| Lowest P/E | #6 | 7.3× | https://sweetvaluelab.com/lists/lowest-pe |
| Near 52-week lows | #14 | +1.5% | https://sweetvaluelab.com/lists/near-52-week-lows |
| Worst performing this year | #46 | −25.9% | https://sweetvaluelab.com/lists/worst-performing-this-year |

## Dividends

| Figure | Value |
| --- | ---: |
| Trailing dividend yield | 7.94% |
| Dividends per share, last 12 months | $0.49 |
| Dividends / free cash flow (fiscal 2025) | 53.4% |
| Raised | — |
| Growth over 5 years | 5.2% a year |
| Latest payment | $0.07, ex-date Sep 1, 2026, paid Sep 15, 2026 |

| Year of payments | Dividends per share |
| --- | ---: |
| To Aug 31, 2021 | $0.38 |
| To Aug 31, 2022 | $0.50 |
| To Aug 31, 2023 | $0.88 |
| To Sep 3, 2024 | $1.00 |
| To Sep 2, 2025 | $0.78 |
| Trailing twelve months (to Sep 1, 2026) | $0.49 |

## Valuation models

Each model's value per share and the role the engine gave it for this business. The headline above is one model's value; every other model is listed with its own, and each has a page of its own under the valuation. Computed Oct 27, 2026.

| Model | Role | Value per share | Low | High |
| --- | --- | ---: | ---: | ---: |
| DCF · Perpetuity growth · 5y | primary | $28.36 | $3.17 | $64.13 |
| DCF · Perpetuity growth · 10y | cross check | $27.53 | $3.66 | $66.15 |
| DCF · EBITDA exit · 5y | cross check | $22.29 | $11.87 | $34.56 |
| DCF · EBITDA exit · 10y | cross check | $22.45 | $10.64 | $38.20 |
| P/E · peers | cross check | $19.68 | $15.80 | $35.87 |
| P/E · own history | cross check | $12.78 | $7.42 | $16.23 |
| PEG | sanity check | $6.19 | $6.19 | $6.19 |
| EV/EBITDA · peers | cross check | $30.28 | $26.48 | $33.63 |
| EV/Revenue · peers | cross check | $34.65 | $11.41 | $63.00 |
| Earnings power value | cross check | $7.21 | $0.97 | $18.78 |
| Dividend discount | cross check | $18.96 | $12.36 | $34.75 |

## Insider activity (SEC Form 4)

No open-market insider buys or sales filed in the past 90 days.

| Date | Insider | Relationship | Transaction | Shares | Value |
| --- | --- | --- | --- | ---: | ---: |
| Sep 29, 2026 | Peltz Bradley G. | Director | Grant / award | 3,318 | $24,619.6 |
| Sep 29, 2026 | MAY PETER W | Director, 10% Owner | Grant / award | 4,009 | $29,746.8 |
| Sep 15, 2026 | Kale Aaron M. | Chief Accounting Officer | Grant / award | 13 | $0 |
| Sep 15, 2026 | Kale Aaron M. | Chief Accounting Officer | Grant / award | 42 | $0 |
| Sep 15, 2026 | Kale Aaron M. | Chief Accounting Officer | Grant / award | 73 | $0 |

## Recent SEC filings

| Filed | Form | What | Filing |
| --- | --- | --- | --- |
| Aug 17, 2026 | 8-K | 5.02 Departure/Election of Directors or Officers | https://www.sec.gov/Archives/edgar/data/30697/000119312526354008/d126117d8k.htm |
| Aug 7, 2026 | 8-K | 2.02 Results of Operations (Earnings); 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/30697/000119312526339132/d130352d8k.htm |
| Aug 7, 2026 | 10-Q | Quarterly report | https://www.sec.gov/Archives/edgar/data/30697/000003069726000116/wen-20260628.htm |
| Jul 28, 2026 | 8-K | 5.02 Departure/Election of Directors or Officers | https://www.sec.gov/Archives/edgar/data/30697/000119312526321244/d158954d8k.htm |
| Jun 23, 2026 | 8-K | 5.02 Departure/Election of Directors or Officers; 7.01 Regulation FD Disclosure; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/30697/000119312526278576/d158135d8k.htm |

## Superinvestors holding it (latest 13F)

| Manager | Quarter | Shares | Value |
| --- | --- | ---: | ---: |
| Nelson Peltz | 2026-06-30 | 30,468,434 | $252.6M |
| Prem Watsa | 2026-06-30 | 8,005,627 | $66.3M |
| Bill Nygren | 2026-06-30 | 5,587,137 | $46.3M |
| First Eagle | 2026-06-30 | 353,023 | $2.9M |

4 tracked managers in all.

## About

The Wendy's Company, together with its subsidiaries, engages in the operation, development, and franchising of a system of quick-service restaurants in the United States and internationally. The company operates through the Wendy’s U.S., Wendy’s International, and Global Real Estate & Development segments. Its restaurants offer a menu that includes hamburger sandwiches and chicken sandwiches; chicken tenders and nuggets, chili, french fries, baked potatoes, salads, soft drinks, Frosty desserts, and kids’ meals; breakfast menu, including the Breakfast Baconator sandwich and seasoned products; and a variety of promotional products on a limited time basis. The company also owns and leases real estate properties. As of December 28, 2025, there were 5,969 Wendy’s restaurants in operation in the United States and 1,428 Wendy’s restaurants in operation in 38 foreign countries and U.S. territori…

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Source: https://sweetvaluelab.com/stocks/wen (SweetValueLab, free, no account). Prices and statements from Financial Modeling Prep; filings from SEC EDGAR. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.