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QSR

Restaurant Brands InternationalNYSE:QSR Stock Report

Market Cap

US$25.0b

7D

-4.5%

1Y

-4.7%

Updated

02 Dec, 2021

Data

Company Financials +
QSR fundamental analysis
Snowflake Score
Valuation1/6
Future Growth2/6
Past Performance4/6
Financial Health2/6
Dividends4/6

QSR Stock Overview

Restaurant Brands International Inc. owns, operates, and franchises quick service restaurants under the Tim Hortons (TH), Burger King (BK), and Popeyes (PLK) brands.

Restaurant Brands International Competitors

McDonald's

NYSE:MCD

US$182.5b

Starbucks

NasdaqGS:SBUX

US$127.5b

Chipotle Mexican Grill

NYSE:CMG

US$45.1b

Yum! Brands

NYSE:YUM

US$36.1b

Price History & Performance

Summary of all time highs, changes and price drops for Restaurant Brands International
Historical stock prices
Current Share PriceUS$56.05
52 Week HighUS$71.12
52 Week LowUS$54.18
Beta1.1
1 Month Change-2.25%
3 Month Change-12.80%
1 Year Change-4.71%
3 Year Change-1.89%
5 Year Change13.55%
Change since IPO52.68%

Recent News & Updates

Nov 23
At US$58.05, Is It Time To Put Restaurant Brands International Inc. (NYSE:QSR) On Your Watch List?

At US$58.05, Is It Time To Put Restaurant Brands International Inc. (NYSE:QSR) On Your Watch List?

Today we're going to take a look at the well-established Restaurant Brands International Inc. ( NYSE:QSR ). The...

Nov 01

Restaurant Brands International: Strong Long-Term Outlook Remains Intact On Improving Fundamentals

F3Q2021 revenues of ~$1.5 billion missed analyst projections by $20 million. EPS of $0.70 was above consensus estimates by $0.01. QSR brought in Tom Curtis, a veteran of the quick service restaurant industry, to turnaround Burger King U.S. We’re maintaining our 1-year Price Target of $101/share for QSR. Reiterate Buy Rating.

Oct 25
Restaurant Brands International (NYSE:QSR) Takes On Some Risk With Its Use Of Debt

Restaurant Brands International (NYSE:QSR) Takes On Some Risk With Its Use Of Debt

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Oct 12
Restaurant Brands International (NYSE:QSR) Has Some Way To Go To Become A Multi-Bagger

Restaurant Brands International (NYSE:QSR) Has Some Way To Go To Become A Multi-Bagger

Did you know there are some financial metrics that can provide clues of a potential multi-bagger? In a perfect world...

Sep 28
A Look At The Fair Value Of Restaurant Brands International Inc. (NYSE:QSR)

A Look At The Fair Value Of Restaurant Brands International Inc. (NYSE:QSR)

How far off is Restaurant Brands International Inc. ( NYSE:QSR ) from its intrinsic value? Using the most recent...

Shareholder Returns

QSRUS HospitalityUS Market
7D-4.5%-6.7%-3.5%
1Y-4.7%-0.8%19.4%

Return vs Industry: QSR underperformed the US Hospitality industry which returned -3.1% over the past year.

Return vs Market: QSR underperformed the US Market which returned 17.8% over the past year.

Price Volatility

Is QSR's price volatile compared to industry and market?
QSR volatility
QSR Average Weekly Movement3.1%
Hospitality Industry Average Movement6.8%
Market Average Movement6.1%
10% most volatile stocks in US Market14.9%
10% least volatile stocks in US Market2.4%

Stable Share Price: QSR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: QSR's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19545,200Jos Cilhttps://www.rbi.com

Restaurant Brands International Inc. owns, operates, and franchises quick service restaurants under the Tim Hortons (TH), Burger King (BK), and Popeyes (PLK) brands. The company operates through three segments: TH, BK, and PLK. Its restaurants offer blend coffee, tea, espresso-based hot and cold specialty drinks, donuts, Timbits, bagels, muffins, cookies and pastries, grilled paninis, classic sandwiches, wraps, soups, hamburgers, chicken and other specialty sandwiches, french fries, soft drinks, chicken, chicken tenders, fried shrimp and other seafood, red beans and rice, and other food items.

Restaurant Brands International Fundamentals Summary

How do Restaurant Brands International's earnings and revenue compare to its market cap?
QSR fundamental statistics
Market CapUS$25.02b
Earnings (TTM)US$750.00m
Revenue (TTM)US$5.55b

34.4x

P/E Ratio

4.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
QSR income statement (TTM)
RevenueUS$5.55b
Cost of RevenueUS$2.39b
Gross ProfitUS$3.16b
ExpensesUS$2.41b
EarningsUS$750.00m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.63
Gross Margin56.93%
Net Profit Margin13.51%
Debt/Equity Ratio309.8%

How did QSR perform over the long term?

See historical performance and comparison

Dividends

3.8%

Current Dividend Yield

86%

Payout Ratio

Does QSR pay a reliable dividends?

See QSR dividend history and benchmarks
When do you need to buy QSR by to receive an upcoming dividend?
Restaurant Brands International dividend dates
Ex Dividend DateDec 20 2021
Dividend Pay DateJan 05 2022
Days until Ex dividend16 days
Days until Dividend pay date32 days

Does QSR pay a reliable dividends?

See QSR dividend history and benchmarks

Valuation

Is Restaurant Brands International undervalued compared to its fair value and its price relative to the market?

6.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: QSR ($56.05) is trading below our estimate of fair value ($60.1)

Significantly Below Fair Value: QSR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: QSR is poor value based on its PE Ratio (34.4x) compared to the US Hospitality industry average (22.2x).

PE vs Market: QSR is poor value based on its PE Ratio (34.4x) compared to the US market (16.6x).


Price to Earnings Growth Ratio

PEG Ratio: QSR is poor value based on its PEG Ratio (4.9x)


Price to Book Ratio

PB vs Industry: QSR is overvalued based on its PB Ratio (10.3x) compared to the US Hospitality industry average (3x).


Future Growth

How is Restaurant Brands International forecast to perform in the next 1 to 3 years based on estimates from 24 analysts?

7.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: QSR's forecast earnings growth (7% per year) is above the savings rate (2%).

Earnings vs Market: QSR's earnings (7% per year) are forecast to grow slower than the US market (14.3% per year).

High Growth Earnings: QSR's earnings are forecast to grow, but not significantly.

Revenue vs Market: QSR's revenue (4.8% per year) is forecast to grow slower than the US market (10.1% per year).

High Growth Revenue: QSR's revenue (4.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: QSR's Return on Equity is forecast to be very high in 3 years time (83.9%).


Past Performance

How has Restaurant Brands International performed over the past 5 years?

9.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: QSR has high quality earnings.

Growing Profit Margin: QSR's current net profit margins (13.5%) are higher than last year (11%).


Past Earnings Growth Analysis

Earnings Trend: QSR's earnings have grown by 9.2% per year over the past 5 years.

Accelerating Growth: QSR's earnings growth over the past year (33.9%) exceeds its 5-year average (9.2% per year).

Earnings vs Industry: QSR earnings growth over the past year (33.9%) underperformed the Hospitality industry 79.7%.


Return on Equity

High ROE: Whilst QSR's Return on Equity (27.51%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is Restaurant Brands International's financial position?


Financial Position Analysis

Short Term Liabilities: QSR's short term assets ($2.6B) exceed its short term liabilities ($1.8B).

Long Term Liabilities: QSR's short term assets ($2.6B) do not cover its long term liabilities ($17.1B).


Debt to Equity History and Analysis

Debt Level: QSR's net debt to equity ratio (266.6%) is considered high.

Reducing Debt: QSR's debt to equity ratio has increased from 126.2% to 309.8% over the past 5 years.

Debt Coverage: QSR's debt is not well covered by operating cash flow (12.3%).

Interest Coverage: QSR's interest payments on its debt are well covered by EBIT (3.7x coverage).


Balance Sheet


Dividend

What is Restaurant Brands International current dividend yield, its reliability and sustainability?

3.78%

Current Dividend Yield


Upcoming Dividend Payment

TodayDec 03 2021Ex Dividend DateDec 20 2021Dividend Pay DateJan 05 202216 days from Ex DividendBuy in the next 16 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: QSR's dividend (3.78%) is higher than the bottom 25% of dividend payers in the US market (1.37%).

High Dividend: QSR's dividend (3.78%) is in the top 25% of dividend payers in the US market (3.69%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, QSR has been paying a dividend for less than 10 years.

Growing Dividend: QSR's dividend payments have increased, but the company has only paid a dividend for 7 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (86.4%), QSR's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: QSR's dividends in 3 years are forecast to be covered by earnings (67.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.7yrs

Average management tenure


CEO

Jos Cil (51 yo)

2.92yrs

Tenure

US$20,054,416

Compensation

Mr. Jose E. Cil, also known as Jos, has been the Chief Executive Officer at Restaurant Brands International Inc., a General Partner of Restaurant Brands International Limited Partnership since January 23,...


CEO Compensation Analysis

Compensation vs Market: Jos's total compensation ($USD20.05M) is above average for companies of similar size in the US market ($USD11.11M).

Compensation vs Earnings: Jos's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: QSR's management team is considered experienced (3.7 years average tenure).


Board Members

Experienced Board: QSR's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Restaurant Brands International Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Restaurant Brands International Inc.
  • Ticker: QSR
  • Exchange: NYSE
  • Founded: 1954
  • Industry: Restaurants
  • Sector: Consumer Services
  • Implied Market Cap: US$25.020b
  • Market Cap: US$17.124b
  • Shares outstanding: 460.34m
  • Website: https://www.rbi.com

Number of Employees


Location

  • Restaurant Brands International Inc.
  • 130 King Street West
  • Suite 300
  • Toronto
  • Ontario
  • M5X 1E1
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/02 23:35
End of Day Share Price2021/12/02 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.