AI Spotlight on WING
Company Description
Wingstop Inc., together with its subsidiaries, franchises and operates restaurants under the Wingstop brand name.Its restaurants offer classic wings, boneless wings, and tenders that are cooked-to-order, and hand-sauced-and-tossed in various flavors.As of December 25, 2021, the company had 1,695 franchised restaurants and 36 company-owned restaurants in 44 states and 7 countries worldwide.
Wingstop Inc.was founded in 1994 and is headquartered in Addison, Texas.
Market Data
Last Price | 305.76 |
Change Percentage | 0.68% |
Open | 303.47 |
Previous Close | 303.7 |
Market Cap ( Millions) | 8932 |
Volume | 498322 |
Year High | 433.86 |
Year Low | 266.44 |
M A 50 | 304.62 |
M A 200 | 363.5 |
Financial Ratios
FCF Yield | 1.56% |
Dividend Yield | 0.32% |
ROE | -22.69% |
Debt / Equity | -173.80% |
Net Debt / EBIDTA | 402.15% |
Price To Book | -20.0 |
Price Earnings Ratio | 88.79 |
Price To FCF | 63.98 |
Price To sales | 15.11 |
EV / EBITDA | 55.8 |
News
- Jan -30 - OPI Unveils New RapiDryβ’ Nail Polish by Teaming Up With Wingstop to Introduce the βSnack in :60 Challengeβ
- Jan -29 - Wingstop (WING) Laps the Stock Market: Here's Why
- Jan -28 - 5 Restaurant Stocks Poised for Earnings Surprises This Season
- Jan -24 - Wingstop Supports the American Red Cross to Help Communities Affected by 2025 California Wildfires
- Jan -22 - Wingstop (WING) Surpasses Market Returns: Some Facts Worth Knowing
- Jan -21 - Wingstop Inc. to Announce Fiscal Fourth Quarter and Full Year 2024 Financial Results on February 19, 2025
- Jan -19 - A Once-in-a-Decade Opportunity: 1 Magnificent Dividend Stock Down 36% to Buy Hand Over Fist in 2025
- Jan -15 - Wingstop (WING) Stock Falls Amid Market Uptick: What Investors Need to Know
- Jan -15 - Wingstop (WING) Stock Declines While Market Improves: Some Information for Investors
- Jan -08 - Wingstop (WING) Stock Falls Amid Market Uptick: What Investors Need to Know
- Dec -28 - Why Wingstop (WING) Dipped More Than Broader Market Today
- Dec -27 - Here's Why You Should Retain Wingstop Stock in Your Portfolio Now
- Dec -27 - Wingstop (WING) Falls More Steeply Than Broader Market: What Investors Need to Know
- Dec -11 - Wingstop: Flying Too Close To The Sun On Icarian Wings
- Dec -11 - 4 Stocks Planning to Return Capital With Hefty Buyback Programs
- Dec -07 - 1 Super Growth Stock Down 22% to Buy After a Recent Pullback as We Head Into 2025
- Dec -05 - Wingstop Announces Additional $500 Million Share Repurchase Authorization
- Dec -02 - Trump Tax Reforms: 7 Stocks That Could Benefit in 2025
- Nov -20 - 3 Unstoppable Multibaggers Up Between 965% and 3,450% Since 2014 to Buy After a Recent Pullback
- Nov -13 - KBRA Assigns a Preliminary Rating to Wingstop Funding LLC, Series 2024-1
Business Breakdown
Expected Mid-Term Growth
Segment nΒ°1 -> Royalty, Franchise Fees and Other
Expected Growth : 12 %
What the company do ?
Royalty fees are paid by franchisees to Wingstop Inc. for use of the brand, Franchise fees are initial fees paid by franchisees to acquire the franchise, and Other includes advertising fees and vendor rebates.
Why we expect these perspectives ?
Wingstop's 12% growth in Royalty, Franchise Fees, and Other is driven by increasing same-store sales, unit expansion, and higher average royalty rates. Additionally, the company's strategic initiatives, such as digital transformation and menu innovation, contribute to the growth. Furthermore, the rise of delivery and online ordering also boosts royalty income, while franchisees' investments in restaurant remodels and technology upgrades support franchise fee growth.
Segment nΒ°2 -> Advertising Fees
Expected Growth : 10 %
What the company do ?
Advertising Fees from Wingstop Inc. refers to the costs incurred by the company to promote its brand and products through various advertising channels, including digital, print, and broadcast media.
Why we expect these perspectives ?
Wingstop Inc.'s 10% growth in Advertising Fees is driven by increasing brand awareness, expansion into new markets, and a shift towards digital advertising. Additionally, the company's focus on loyalty programs, online ordering, and delivery services has led to higher advertising spend. Furthermore, Wingstop's franchise model allows for collective advertising efforts, resulting in increased advertising fees.
Segment nΒ°3 -> Company-owned Restaurant
Expected Growth : 18 %
What the company do ?
A company-owned restaurant from Wingstop Inc. is a Wingstop location owned and operated directly by the company, rather than a franchisee.
Why we expect these perspectives ?
Wingstop Inc.'s company-owned restaurant segment growth of 18% is driven by increasing same-store sales, expansion of digital capabilities, and strategic menu pricing. Additionally, the company's focus on operational efficiency, marketing initiatives, and unit growth in high-demand markets contribute to the segment's growth.
Wingstop Inc. Products
Product Range | What is it ? |
---|---|
Wings | Wingstop's signature product, offering a variety of flavors and sauces to choose from, including Atomic, Mango Habanero, and Lemon Pepper. |
Tenders | Breaded and cooked to a crispy perfection, our tenders are a great alternative to wings, with the same great flavors and sauces. |
Fries | Thick-cut and cooked to a crispy perfection, our fries are the perfect side dish to complement our wings and tenders. |
Veggie Sticks | A healthier alternative to fries, our veggie sticks are a crispy and tasty snack option. |
Desserts | A sweet treat to finish off your meal, our desserts include options like chocolate chip cookies and brownies. |
Combo Meals | A convenient and affordable way to get a complete meal, our combo meals include a combination of wings, tenders, fries, and a drink. |
Catering | Wingstop's catering service offers a variety of options for events and parties, including wings, tenders, and sides. |
Wingstop Inc.'s Porter Forces
Threat Of Substitutes
Wingstop's menu items are highly differentiated, and customers are loyal to the brand. The threat of substitutes is low.
Bargaining Power Of Customers
Wingstop's customers have some bargaining power due to the presence of competitors, but the brand's loyalty program and customer retention strategies mitigate this power.
Bargaining Power Of Suppliers
Wingstop has a diversified supplier base, and the company's scale of operations gives it bargaining power over suppliers.
Threat Of New Entrants
While there are barriers to entry in the fast-casual restaurant industry, new entrants can still pose a threat to Wingstop. However, the company's strong brand recognition and operational efficiency provide a competitive advantage.
Intensity Of Rivalry
The fast-casual restaurant industry is highly competitive, with many established players competing for market share. Wingstop must continually innovate and improve its offerings to maintain its market position.
Capital Structure
Value | |
---|---|
Debt Weight | 277.73% |
Debt Cost | 3.95% |
Equity Weight | -177.73% |
Equity Cost | 12.10% |
WACC | -10.54% |
Leverage | -156.27% |
Wingstop Inc. : Quality Control
Wingstop Inc. passed 7 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
Company | Rational |
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DRI | Darden Restaurants, Inc., through its subsidiaries, owns and operates full-service restaurants in the United States and Canada. As of May 29, 2022, it owned and operated 1,867 restaurants, which included β¦ |
EAT | Brinker International, Inc., together with its subsidiaries, engages in the ownership, development, operation, and franchising of casual dining restaurants in the United States and internationally. The company operates in two β¦ |
WEN | The Wendy's Company, together with its subsidiaries, operates as a quick-service restaurant company. It operates through three segments: Wendy's U.S., Wendy's International, and Global Real Estate & Development. The company β¦ |
DPZ | Domino's Pizza, Inc., through its subsidiaries, operates as a pizza company in the United States and internationally. It operates through three segments: U.S. Stores, International Franchise, and Supply Chain. The β¦ |
TXRH | Texas Roadhouse, Inc., together with its subsidiaries, operates casual dining restaurants in the United States and internationally. The company operates and franchises restaurants under the Texas Roadhouse, Bubba's 33, and β¦ |