Wingstop Inc. (WING) Stock Valuation — PE Analysis

Restaurants · NASDAQ

Current Price

$139.45

PE Ratio (TTM)

33.0x

Intrinsic Value

$190.55

+26.8% margin of safety

AI MOAT & RISK ANALYSIS
AI Generated · For Reference OnlyWING

COMPETITIVE MOAT

Brand Recognition and Loyalty

Wingstop has cultivated a strong brand identity centered on chicken wings. This recognition fosters customer loyalty and repeat business, making it a preferred choice for wing enthusiasts.

Operational Efficiency and Scalability

The company's standardized operating model allows for efficient expansion and consistent product delivery across its franchise network. This scalability supports continued growth and market penetration.

Flavor Innovation and Menu Differentiation

Wingstop's focus on unique and bold flavor profiles, like the new Sweet Heat Chamoy, differentiates it from competitors. This innovation drives customer interest and trial of new offerings.

INVESTMENT RISKS

Dependence on Franchisees

Wingstop's franchise model means its success is heavily reliant on the performance and adherence to standards of its franchisees. Any issues at the franchisee level can impact the brand.

Consumer Taste and Trend Shifts

Changes in consumer preferences or dietary trends could impact demand for chicken wings. The company must remain agile to adapt to evolving tastes.

Market Volatility and Stock Performance

Recent stock price declines, even when the broader market rises, indicate investor sentiment can be volatile. This can be influenced by various market factors and company-specific news.

Base case

WING base case PE valuation

At a current price of $139.45, the base case PE valuation puts WING fair value near $190.55 per share. That figure assumes 13.8% yearly earnings growth, a target PE multiple of 33x, and a 10% discount rate.

Intrinsic Value

$190.55

Margin of safety

+26.8%

Expected annual return

+6.4%

Base case assumptions: 13.8% annual earnings growth, 33x target PE, 10% discount rate, 5 year projection. Data as of 2026-07-29.

This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.

Customize the WING PE valuation

Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Wingstop Inc. respond.

Open PE Calculator for WING

Or try DCF Valuation for WING

Company Overview

Wingstop Inc., together with its affiliated companies, manages and licenses a network of restaurants known by the Wingstop brand. These establishments are recognized for their made-to-order offerings, including classic bone-in wings, boneless wings, and tenders, all freshly cooked and expertly hand-tossed in a wide array of distinctive sauces. By December 25, 2021, Wingstop's extensive reach encompassed 1,695 independently operated franchise locations and 36 company-owned stores, spread throughout 44 U.S. states and seven countries globally. This enterprise, which was founded in 1994, has its corporate headquarters located in Addison, Texas.

Financial Metrics — WING PE Stock Valuation Data

PE Ratio (TTM)

33.0x

PEG Ratio

n/m

Earnings Yield

3.07%

ROE (TTM)

-15.5%

Revenue/Share (TTM)

$26.46

Dividend Yield

0.86%

Debt/Equity

n/m

Frequently Asked Questions

What is the PE ratio of WING?

The trailing twelve-month PE ratio of WING reflects how much investors pay per dollar of Wingstop Inc.'s earnings. This metric is most useful when compared to Restaurants peers and the company's own historical range.

Is WING overvalued based on PE ratio?

WING's PE of 33.0x combined with a PEG ratio of -1.11 provides a growth-adjusted perspective. WING has negative earnings, so its PE and PEG ratios are not meaningful here and cannot tell you whether the stock is over or undervalued. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical Restaurants, a DCF analysis may be more appropriate.

How do I value WING stock using PE ratio?

To value Wingstop Inc. using PE: (1) Compare the current PE (33.0x) against the Restaurants median to assess relative pricing, (2) check the PEG ratio (-1.11) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.

What is the PEG ratio of WING?

WING's PEG ratio is -1.11, calculated by dividing the PE ratio (33.0x) by the expected earnings growth rate. Because WING has negative earnings, its PEG ratio is not meaningful and should not be read as a sign of under or overvaluation. Note that PEG accuracy depends on the reliability of growth estimates.

Should I use PE ratio or DCF for WING stock valuation?

PE ratio gives a quick relative read — how WING is priced versus Restaurants peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.

Learn More

P/E and DCF value WING with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.

Price as of 2026-07-29. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.

This is an estimate, not investment advice.