Wingstop up after Guggenheim upgrades to "buy" on sales reacceleration potential

Wingstop

24/02/2025 12:24

** Shares of restaurant chain Wingstop  WING.O  up ~4% at
$242.60 premarket
    ** Guggenheim upgrades stock to "buy" from "neutral",
reinstitutes PT at $280
    ** The company had reported Q4 revenue below estimates and
forecast downbeat annual same-store sales on Wednesday, sending
shares down 13.4%, following which at least 10 brokerages cut PT
on stock on Thursday
    ** Guggenheim sees comparable sales to hit bottom in Q2, at
flat to slightly negative growth, before reaccelerating in
second half of 2025; recommends buying WING early rather than
late
    ** Expects Wingstop to provide more disclosure on its
international business over the next 12 to 18 months, which
should help give investors more confidence in long-term store
count potential
    ** 16 of 25 brokerages rate the stock "buy" or higher, and
nine "hold"; with a median PT of $320- data compiled by LSEG
    ** WING rose 10.8% in 2024

 (Reporting by Neil J Kanatt in Bengaluru)
 ((Neil.JKanatt@thomsonreuters.com;))