Stock Market

Wingstop lifted to Buy at BTIG, 'multiple levers remain'

Investing | Fri, Nov 01 2024 04:03 AM AEDT

1695367561_650d4189d32c8_1692951951_64e8658fe70f4_breaking_news_600.png
Image Source: Sivastatz

Investing.com -- BTIG upgraded Wingstop (NASDAQ:WING) to Buy with a price target of $370 on Thursday, citing opportunities for long-term growth despite recent concerns around the company's fourth-quarter same-store sales guidance.

BTIG described the stock's post-earnings decline as a buying opportunity for investors focused on the company's longer-term outlook, explaining, "the decline below $300 represents an attractive opportunity for long-term investors willing to look past the hyper-analyzing over what guidance implies for 4Q comps."

Wingstop's brand strength and continued ability to innovate position it well for sustained growth, according to BTIG.

The firm highlighted Wingstop's potential to boost same-store sales through several initiatives, including enhanced advertising, expanding menu options such as chicken sandwiches and tenders, and introducing popular promotions like the boneless bundle.

Beyond short-term sales strategies, BTIG pointed to Wingstop's increased unit development and robust unit economics as central to its upgrade.

These factors, BTIG noted, create a solid foundation for growth that could even see the company raise its royalty rate on new units in the future, thus enhancing earnings potential.

"While the acceleration in unit development, best-in-class unit economics, and long-term potential anchor our upgrade, we do believe management could at some point increase the royalty rate on new units to capture further earnings potential," BTIG explained.

With these multiple levers in play, BTIG sees Wingstop as an attractive buy despite recent fluctuations, underscoring the firm's confidence in the company's strategies and market position as it heads into 2024.

This article first appeared in Investing.com

PRNews

Global Spotlight on International Aquarium Conference as It Moves from Mexico to China

HHAn-Wuhan Polar Ocean Park Takes Center Stage with Successful Flag Handover in advance of 2027 IAC WUHAN, China, Nov. 3, 2024 /PRNewswire/ -- ...

Cision | Sun, Nov 03 2024 08:17 PM AEDT

Read More
PRNews

2024 Global Forum on Hehe Culture held in Taizhou

TAIZHOU, China, Nov. 3, 2024 /PRNewswire/ -- This is a report from China SCIO. The 2024 Global Forum on Hehe Culture with the ...

Cision | Sun, Nov 03 2024 03:01 PM AEDT

Read More
PRNews

FII8 Day Three Ends with $70 Billion in Deals Announced

RIYADH, Saudi Arabia, Nov. 3, 2024 /PRNewswire/ -- The Future Investment Initiative (FII) Institute wrapped up Day 3 of its 8th annual ...

Cision | Sun, Nov 03 2024 07:12 AM AEDT

Read More
PRNews

Ping An Health Achieves WONCA International Quality Dual Certifications Defining New Standards in Internet Healthcare Services

HONG KONG and SHANGHAI, Nov. 3, 2024 /PRNewswire/ -- October 29, 2024, Ping An Healthcare Technology Co.,Ltd. successfully obtained the Digital Health Certificate (...

Cision | Sun, Nov 03 2024 04:39 AM AEDT

Read More
PRNews

ARCHAEOLOGISTS DISCOVER BRONZE AGE TOWN BURIED IN NORTHWEST ARABIA, THE REGION'S FIRST DISCOVERY OF ITS KIND

Challenges traditional view of transition from nomadic pastoralism to nascent urbanism ALULA, Saudi Arabia, Nov. 2, 2024 /PRNewswire/ -- New archaeological ...

Cision | Sun, Nov 03 2024 01:18 AM AEDT

Read More