Key Highlights

● Wendy's now pays a quarterly dividend of $0.07 per share, half the $0.14 previously paid.

● Shares closed at $6.23 on 9 October 2026 against $6.22 at the previous session's close.

● The trailing dividend yield is 7.87%, while the indicated annualised regular yield is now 4.49%.

● US same-restaurant sales fell 7.0% in the second quarter, and the 2026 outlook was withdrawn.

The Wendy's Company (NASDAQ:WEN) now pays a quarterly dividend of $0.07 per share, half the $0.14 it paid in each of the three preceding quarters, and that cut explains most of the gap between its trailing and forward income figures. Based on a closing price of $6.23 on 9 October 2026, the trailing dividend yield is 7.87%, while the indicated annualised regular yield on the latest payment is 4.49%. The second number is the better guide to what the current rate implies.

How the yield is built

The trailing figure counts every dividend with an ex-dividend date from 10 October 2025 to 9 October 2026 inclusive. Those were $0.14 on 1 December 2025, $0.14 on 2 March 2026, $0.14 on 1 June 2026 and $0.07 on 1 September 2026, a total of $0.49 per share, paid on 15 December, 16 March, 15 June and 15 September respectively. The record date is treated as the ex-dividend date, since the dividend table gives the two as the same day and US settlement is now T+1. No special dividends were found in the window, so all four payments are classed as regular.

Annualising the latest $0.07 payment gives $0.28 a year, equal to 4.49% of the closing price.

Business and the cut

Wendy's is a quick-service hamburger restaurant group, and its dividend is funded by cash generated from company and franchised restaurants. With its second-quarter 2026 results, published on 7 August 2026, the company declared the reduced $0.07 dividend, an updated annualised rate of $0.28, and withdrew its 2026 financial outlook. Bob Wright has returned as President and CEO, saying he came back because he believes the company can fix its issues.

Second-quarter adjusted earnings per share were $0.18, down from $0.29 a year earlier, on total revenues of $570.6 million. US same-restaurant sales fell 7.0% and international same-restaurant sales fell 2.3%. A falling sales trend of that kind is the main risk to cash flow.

Payout and cover

A market-data page showed a trailing payout ratio of 74.45%, which largely reflects the higher pre-cut dividends. With the outlook withdrawn there is no company guidance against which to test cover for the $0.28 annual dividend. The market capitalisation was about $1.19 billion on 9 October 2026, and the shares closed at $6.23 against $6.22 at the previous close. A dividend cut is not by itself proof of recovery or of further trouble; it resets the starting point.

The Next Declaration and Third-Quarter Outlook Will Test the 7-Cent Rate

The measures to follow are whether the board holds the $0.07 rate at its next declaration, what outlook, if any, returns with the third-quarter results, and how same-restaurant sales, restaurant closures and leverage develop. The dividend is set quarterly by the board and can be changed at any time.