Stephens’ Confidence in Wingstop (WING) Uplifted After a Challenging 2025

Wingstop Inc. (NASDAQ:WING) is included in our list of the best restaurant stocks to buy now.

Wingstop Inc. (NASDAQ:WING) kicked off 2026 with renewed bullish conviction, with Stephens naming the stock its 2026 Best Idea on January 2, 2026. Each of the firm’s 23 industry teams identified one stock they see outpacing the performance of their industry, the Russell 2000, and the broader market. This update came following a challenging 2025 for the company.

However, the investment firm believes Wingstop Inc. (NASDAQ:WING) is emerging from short-term pressures with a clear runway to up its brand reach and bolster customer frequency. It expects the company to achieve this through stepped-up marketing, sports partnerships, improved marketplace placement, and technology-driven initiatives. Furthermore, Stephens emphasized the expanding rollout of Wingstop Smart Kitchen, the company’s high digital mix, its large digital user base, and the planned launch of a loyalty program. These factors are expected to drive growth in 2026, Stephens noted.

The firm’s outlook is reinforced by the company’s management commentary during the Q3 2025 earnings call. During the quarter, Wingstop Inc. (NASDAQ:WING) delivered 10% system-wide sales growth, a 19% unit growth, and nearly 19% adjusted EBITDA growth, thanks to the resilience of its asset-light, highly franchised model amid a shifting consumer environment. Meanwhile, CEO Michael Skipworth noted that Smart Kitchen is live in 2,000 restaurants, resulting in a 50% reduction in service speed, achieving consistent 10-minute delivery times. Significant improvements in guest satisfaction were also noted, alongside mid-single-digit same-store sales outperformance in early adopter regions. Skipworth also discussed the upcoming “Wingstop Is Here” marketing campaign and the Club Wingstop loyalty program, currently in pilot and tracking ahead of expectations. The new marketing push and loyalty program are expected to drive average unit volumes toward a $3 million target in 2026.

Wingstop Inc. (NASDAQ:WING), headquartered in Dallas, Texas, is a franchised, chicken-focused restaurant brand.

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