Wendy’s reported first-quarter 2026 earnings that beat estimates with EPS of $0.12 on revenue of $540.64 million, but U.S. same-restaurant sales collapsed 7.8% and company-operated margin compressed 340 basis points to 11.4%. The stock has surged 15.95% over the past month, fueled by stretched short interest and activist involvement from Trian, making it a short-term squeeze trade. McDonald’s, by contrast, posted EPS of $2.83 on $6.52 billion in revenue, with global comparable sales up 3.8% and U.S. comps up 3.9%, while loyalty sales cleared $9 billion in the quarter. Wendy’s reaffirmed 2026 adjusted EBITDA guidance of $460 million to $480 million and adjusted EPS of $0.56 to $0.60, with a new chicken tenders launch in the third quarter seen as the next test for its turnaround plan.
The Wendy’s CoU.S. same-restaurant sales collapsed 7.8% and company-operated margin compressed 340 bps.
McDonald’s CorporationMcDonald's posted strong global comparable sales up 3.8% and U.S. comps up 3.9%, contrasting with Wendy's decline.