Wendy's CEO Unveils 5-Point Turnaround After Chain Lost No. 2 Rank and Shares Sank Below $9
Updated
Updated · Forbes · Aug 24
Wendy's CEO Unveils 5-Point Turnaround After Chain Lost No. 2 Rank and Shares Sank Below $9
2 articles · Updated · Forbes · Aug 24
Summary
Bob Wright said Wendy’s lost its No. 2 U.S. burger-chain position because it favored cost cuts and discounts over food quality, a blunt admission from the CEO who took over in May.
A 5-point turnaround plan will refocus on ingredient quality, value, operations, store upgrades and digital sales, with Wright saying the menu must be rebuilt from ingredients upward.
The reset follows a 7% drop in domestic same-store sales that pushed Wendy’s behind Burger King, whose U.S. same-store sales rose 8.5% after a $700 million overhaul.
Wendy’s stock has fallen from about $20 in April 2024 to under $9, adding pressure as Nelson Peltz’s Trian—already holding 16%—weighs a take-private bid with partners.