WINGSTOP INC (NASDAQ:WING), a strong growth stock, setting up for a breakout.

Last update: Apr 1, 2025

Exploring Growth Potential: WINGSTOP INC (NASDAQ:WING) and Its Base Formation. Growth investors seek promising revenue and EPS growth, and WINGSTOP INC has come under our scrutiny for potential growth investing. While it's crucial to do your own research, we've detected WINGSTOP INC on our screen for growth with base formation, suggesting it merits a closer look.

Growth Assessment of WING

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. WING has received a 9 out of 10:

WING shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 48.19%, which is quite impressive.
Measured over the past years, WING shows a very strong growth in Earnings Per Share. The EPS has been growing by 38.27% on average per year.
Looking at the last year, WING shows a very strong growth in Revenue. The Revenue has grown by 36.03%.
Measured over the past years, WING shows a very strong growth in Revenue. The Revenue has been growing by 25.66% on average per year.
WING is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.42% yearly.
The Revenue is expected to grow by 16.74% on average over the next years. This is quite good.

Assessing Health Metrics for WING

ChartMill assigns a proprietary Health Rating to each stock. The score is computed by evaluating various liquidity and solvency ratios and ranges from 0 to 10. WING was assigned a score of 7 for health:

An Altman-Z score of 3.62 indicates that WING is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 3.62, WING belongs to the best of the industry, outperforming 81.62% of the companies in the same industry.
WING has a Current Ratio of 4.52. This indicates that WING is financially healthy and has no problem in meeting its short term obligations.
WING has a better Current ratio (4.52) than 97.79% of its industry peers.
A Quick Ratio of 4.52 indicates that WING has no problem at all paying its short term obligations.
The Quick ratio of WING (4.52) is better than 97.79% of its industry peers.

Profitability Assessment of WING

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For WING, the assigned 8 is a significant indicator of profitability:

WING has a better Return On Assets (15.18%) than 92.65% of its industry peers.
With an excellent Return On Invested Capital value of 19.64%, WING belongs to the best of the industry, outperforming 94.12% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for WING is significantly above the industry average of 15.85%.
WING's Profit Margin of 17.37% is amongst the best of the industry. WING outperforms 89.71% of its industry peers.
In the last couple of years the Profit Margin of WING has grown nicely.
WING has a better Operating Margin (26.62%) than 92.65% of its industry peers.
In the last couple of years the Operating Margin of WING has grown nicely.
WING's Gross Margin of 85.36% is amongst the best of the industry. WING outperforms 98.53% of its industry peers.
WING's Gross Margin has improved in the last couple of years.

Why is WING a setup?

ChartMill also assign a Setup Rating to every stock. With this score it is determined to what extend the stock has been trading in a range in the recent days and weeks. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. WING scores a 8 out of 10:

Although the technical rating is bad, WING does present a nice setup opportunity. Prices have been consolidating lately. There is very little resistance above the current price. There is a support zone below the current price at 215.24, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for WING in the last couple of days, which is a good sign.

Every day, new Strong Growth stocks can be found on ChartMill in our Strong Growth screener.

Check the latest full fundamental report of WING for a complete fundamental analysis.

For an up to date full technical analysis you can check the technical report of WING

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.