Wendy’s downgraded to Equal Weight from Overweight at Barclays

Barclays downgraded Wendy’s to Equal Weight from Overweight with a price target of $21, down from $23. The analyst says fundamental challenges are likely to prevail near-term in terms of accelerating unit and comp growth and therefore EBITDA growth. Wendy’s unit growth acceleration is expected to come from international, which remains a challenge at a brand with limited global recognition, especially in the near-term, where a more difficult operating, building cost and interest rate environment could prove an incremental headwind for franchisees, the analyst tells investors in a research note.