Thursday, May 13, 2010

Arby's Stinks Up the Joint

Wendy’s/Arby’s (WEN) posted some disappointing numbers. The stock continues to maddeningly fluctuate around the $5 @ share range despite a share repurchase program. Wendy’s continues to execute while Arby’s stinks up the joint. They are hiring new guys to fix Arby’s and you have to wonder what is the vision?

Management is curiously short on information other than they think they have refinanced a large whack of debt. The disclosure challenge will be in the product and marketing announcements about new Arby’s offerings. The question becomes how fast and how soon. The clock is ticking.

Disclosure: No position in this stock