Wingstop Inc. (NASDAQ:WING) shares fell to a low of $146.11 before closing at $146.90. Intraday shares traded counted 0.33 million, which was 33.03% higher than its 30-day average trading volume of 497.02K. WING’s previous close was $146.54 while the outstanding shares total 29.71M. The firm has a beta of 1.31, a 12-month trailing P/E ratio of 154.63, and a growth ratio of 8.38. The stock’s Relative Strength Index (RSI) is 57.50, with weekly volatility at 3.86% and ATR at 4.84. The WING stock’s 52-week price range has touched low of $108.23 and a $172.87 high. The stock traded higher over the last trading session, gaining 0.25% on 06/10/21.
Investors have identified the Restaurants company Wingstop Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $4.36 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Wingstop Inc. (WING) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For WING, the company has in raw cash 44.66 million on their books with 4.8 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 81.14 million total, with 48.18 million as their total liabilities.
WING were able to record 10.95 million as free cash flow during the 08/05/2021 quarter of the year, this saw their quarterly net cash flow reduce by 4.58 million. In cash movements, the company had a total of 13.79 million as operating cash flow.
Potential earnings growth for Wingstop Inc. (WING)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 08/05/2021 quarter of the year, Wingstop Inc. recorded a total of 70.69 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 21.58% coming in sequential stages and their sales for the 08/05/2021 quarter increasing by 10.48%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 13.28 million trying to sell their products during the last quarter, with the result yielding a gross income of 57.41 million. This allows shareholders to hold on to 29.71M with the recently reported earning now reading 0.44 cents per share. This is a figure that compared to analyst’s prediction for their 08/05/2021 (0.44 cents a share).
Having a look at the company’s valuation, the company is expected to record 1.81 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on WING sounds very interesting.
Is the stock of WING attractive?
In related news, Senior Vice President, People, Upshaw Donnie sold 105 shares of the company’s stock in a transaction that recorded on May 17. The sale was performed at an average price of 135.21, for a total value of 14,197. As the sale deal closes, the EVP, Chief Technology Officer, Peterson Stacy now sold 212 shares of the company’s stock, valued at 28,617. Also, Chairman, President and CEO, Morrison Charles R sold 500 shares of the company’s stock in a deal that was recorded on May 11. The shares were price at an average price of 137.03 per share, with a total market value of 68,513. Following this completion of acquisition, the Chairman, President and CEO, Morrison Charles R now holds 6,500 shares of the company’s stock, valued at 923,051. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.50%.
12 out of 22 analysts covering the stock have rated it a Buy, while 8 have maintained a Hold recommendation on Wingstop Inc.. 0 analysts has assigned a Sell rating on the WING stock. The 12-month mean consensus price target for the company’s shares has been set at $169.67.