In a report released yesterday, Peter Saleh from BTIG maintained a Buy rating on Wingstop, with a price target of $400.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Peter Saleh has given his Buy rating due to a combination of factors that highlight Wingstop’s potential for growth and recovery. Despite recent challenges with same-store sales, which saw a decline due to reduced spending by lower-income consumers, Wingstop’s strategic initiatives are expected to drive future performance. The deployment of Smart Kitchen technology in 80% of U.S. stores is anticipated to enhance service speed and customer satisfaction, potentially leading to improved sales figures.
Furthermore, Wingstop’s plans for mid-teens unit growth and the introduction of a loyalty program, Club Wingstop, are seen as significant drivers for future sales and customer engagement. The loyalty program is expected to leverage Wingstop’s extensive user database to increase customer frequency and spending. These strategic moves, coupled with the company’s better-than-expected profitability despite sales challenges, underpin Saleh’s confidence in Wingstop’s growth trajectory, justifying the Buy rating.
In another report released yesterday, Morgan Stanley also maintained a Buy rating on the stock with a $363.00 price target.