Been on the outside looking in............. Is it too late for this parade?
As it hits another 52 wk high. Is it too late to join this ride?
Why is this stock finally been moving this year? As I have
watched it for years in the 4's and 5's and 6 at best!
What is a short term and long term for this stock???
WEN is in a turnaround according to the management team on the last earnings conference call. WEN stock is moving up because of a refresh or remodelling of the company restaurants as well as the introduction of new Menu items such as the Pretzel Bruger which everyone including Burger King, Dunkin Donuts and Sonic Appear to be copying. With increasing sales, Moody's upgraded the debt rating of Wendy's by one notch. This should help WENDy's refinance their existing debt at lower Interest Rates and make it less burdensome for Wendy's as they pay less interest on theit debt. Additionally, thanks to the Obmama Administration, the #$%$ employment and economic environemnt has forced many Americans to move down to fast food eating instead of sit down dinning at restaurants. We have seen WEN, AFCE, SONC, RRGB, DPZ, PZZA, CMG, NDLS, BKW all continue to perform well. (MCD and YUM are having International problems). Meanwhile, DRI, CAKE, RI, and other publically traded full service restaurants continue to struggle as many families can't afford to pay Waiter tips and sit down prices.
Off course, this is a very competitive environment as there are many choices. WEN will need to continue with new MENU items such as the newly introduced FLAT Bread Sandwhiches. Not to be outdone, MCD is introducing MIGHTY Wings and just added a STEAK Option to their Breakfast Menu items.
Nelson Peltz continues to be the largest shareholder and strong advocate in making WENDY's a premiere fast food restaurant.
So, it's not too late to purchase shares of WEN. Off course always try to purchase WEN on a pullback. It just broke above resistance at the $8.00 level. This should be new support and the next resistance level should be about $10.00.
Any price above $4.00/share is predicated on the belief that the pretzel bun fad will continue unababted for the next 20 years. At this point, you are betting on a pretzel bun. Nothing more, nothing less. That is the ONLY significant thing that has changed in the past 3 years. The promised store remodels are being done at a snails pace, and might as well be cancelled at this point to save further insult to investors' intelligence. The number of company-owned stores being sold to franchisees is miniscule compared to the total store count, so margin improvements won't move the needle much. Oh wait, I almost forgot, they did redesign the logo on their signs. Oh my! How could I forget that monumental change? Please forgive me. So yeah, there you go. They changed their sign, and they offer a pretzel bun which people will eventually get sick and tired of. That's gotta be worth an extra couple billion dollars in markert cap. LOL!
I like to keep it simple and why WEN is a 3 standard deviation miracle..................
Price per store based on MC
CMG $8.6 million;
PNRA $2.8 million;
NDLS $3.8 million;
WEN $0.5 million;
What I'm betting on
So it can go from QSR(2nd tier) to fast causal(1st tier),and it is just that simple to bet on a dynamo and make BIG $$$$$$$$$$!
PS-Got in late in Jan 2013,but betting 100% on ITM,ATM,OTM call options: fantastic ROI in May,Aug,and most likely Nov and Feb 2013,all Calls: $$$$$$$$$$$$$$$ just keep on coming and LOT MORE $$$$$$$$$$$$$$$$$$$$$$$$$ TO PAPA SOON!!!