The stock price of Wingstop Inc (NASDAQ: WING) has dropped by -0.68 compared to previous close of 274.80. Despite this, the company has seen a fall of -0.64% in its stock price over the last five trading days. fool.com reported 2025-01-19 that After briefly trading for more than $400 in 2024, shares of buffalo wing franchisor Wingstop (WING -0.68%) have plummeted 36%. Despite this decline, the growth stock still trades at a lofty price-to-earnings ratio of 80, more than double the S&P 500 ‘s average.
Is It Worth Investing in Wingstop Inc (NASDAQ: WING) Right Now?
Wingstop Inc (NASDAQ: WING) has a higher price-to-earnings ratio of 79.76x compared to its average ratio, The 36-month beta value for WING is at 1.82. Analysts have varying views on the stock, with 12 analysts rating it as a “buy,” 3 rating it as “overweight,” 10 as “hold,” and 1 as “sell.”
The public float for WING is 29.13M, and currently, shorts hold a 5.98% of that float. The average trading volume for WING on January 20, 2025 was 571.04K shares.
WING’s Market Performance
WING stock saw a decrease of -0.64% in the past week, with a monthly decline of -9.12% and a quarterly a decrease of -27.78%. The volatility ratio for the week is 2.99%, and the volatility levels for the last 30 days are 2.98% for Wingstop Inc (WING). The simple moving average for the past 20 days is -3.87% for WING’s stock, with a -25.42% simple moving average for the past 200 days.
Analysts’ Opinion of WING
Many brokerage firms have already submitted their reports for WING stocks, with Goldman repeating the rating for WING by listing it as a “Buy.” The predicted price for WING in the upcoming period, according to Goldman is $377 based on the research report published on November 08, 2024 of the previous year 2024.
Northcoast, on the other hand, stated in their research note that they expect to see WING reach a price target of $350. The rating they have provided for WING stocks is “Buy” according to the report published on November 01st, 2024.
The Benchmark Company gave a rating of “Buy” to WING, setting the target price at $340 in the report published on October 31st of the previous year.
WING Trading at -12.10% from the 50-Day Moving Average
After a stumble in the market that brought WING to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -37.09% of loss for the given period.
Volatility was left at 2.98%, however, over the last 30 days, the volatility rate increased by 2.99%, as shares sank -7.75% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -8.16% lower at present.
During the last 5 trading sessions, WING fell by -0.64%, which changed the moving average for the period of 200-days by -24.16% in comparison to the 20-day moving average, which settled at $283.90. In addition, Wingstop Inc saw -3.97% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at WING starting from Kapoor Raj, who sale 266 shares at the price of $324.38 back on Dec 12 ’24. After this action, Kapoor Raj now owns 266 shares of Wingstop Inc, valued at $86,284 using the latest closing price.
Kapoor Raj, the Officer of Wingstop Inc, proposed sale 266 shares at $324.38 during a trade that took place back on Dec 12 ’24, which means that Kapoor Raj is holding shares at $86,284 based on the most recent closing price.
Stock Fundamentals for WING
Current profitability levels for the company are sitting at:
- 0.26 for the present operating margin
- 0.57 for the gross margin
The net margin for Wingstop Inc stands at 0.17. The total capital return value is set at 0.42.
Based on Wingstop Inc (WING), the company’s capital structure generated 2.36 points at debt to capital in total, while cash flow to debt ratio is standing at 0.24. The debt to equity ratio resting at -1.74. The interest coverage ratio of the stock is 7.77.
Currently, EBITDA for the company is 125.78 million with net debt to EBITDA at 4.02. When we switch over and look at the enterprise to sales, we see a ratio of 14.66. The receivables turnover for the company is 34.89for trailing twelve months and the total asset turnover is 1.22. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.40.
Conclusion
In conclusion, Wingstop Inc (WING) has had a bad performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
