Wendy’s stock (WEN) surged by about 30% on Wednesday as retail investors rallied around the fast food chain.
In a viral thread on r/WallStreetBets, Reddit users cited Wendy’s new management, the closure of select stores, China expansion plans, and a potential buyout from billionaire investor Nelson Peltz’s firm, Trian Fund Management, as potential catalysts for the stock.
Wendy’s has struggled to regain momentum in recent quarters, with negative sales since the first quarter of 2025 and foot traffic that has lagged overall quick-service restaurants. Last quarter, same-store sales slumped 5.5%.
One Reddit user made the case that Wendy’s is positioned for a comeback while also pointing to “challenges ahead,” such as higher commodity costs — a core concern for the industry as beef prices stay elevated.
“We need to save Wendy’s before it’s too late,” another user wrote in a post.
Wendy’s is the latest meme stock influenced by the retail investor group on Reddit. WallStreetBets became famous after the forum fueled the GameStop stock frenzy in 2021, and other names targeted by the group include AMC (AMC), Bed Bath and Beyond (BBBY), Carvana (CVNA), and Tilray Brands (TLRY).
The surge in Wendy’s stock also follows Tuesday’s announcement that industry veteran Steve Cirulis will be the new CFO, effective immediately, after former Potbelly CEO Bob Wright took the helm at Wendy’s in May. Both executives previously worked side by side.
Wendy’s credits the duo with the turnaround at the Potbelly sandwich chain. During their tenure, Potbelly experienced “a more than 500% increase in share price, double-digit growth in average unit volumes, substantial restaurant margin expansion and robust improvement in return on invested capital.”
Potbelly was acquired by convenience chain RaceTrac in October of 2025.
At the same time, activist and founder of Trian Fund Management Nelson Peltz has been building a sizeable stake in Wendy’s, and Peltz’s Trian is now the largest shareholder with more than 30 million shares. Peltz is looking to raise funds to take Wendy’s private, according to the Financial Times.
Data intelligence platform Placer.ai’s Shira Petrack is optimistic that Wright and team can steer the fast food chain in the right direction.
“Between its established appeal among younger consumers, its strength with older diners, and a breakfast business that still has room to improve, Wendy’s has several levers it can pull to regain momentum,” Petrack wrote.
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