Restaurant Brands International (NYSE:QSR) Stock Rating Lowered by Argus

Key Points

• Argus has downgraded Restaurant Brands International from a "buy" rating to a "hold" rating in response to recent performance metrics.
• The company's recent quarterly earnings missed expectations, reporting $0.94 EPS, while revenue increased 15.9% year-over-year to $2.41 billion.
• Current consensus rating for the stock is "Hold" with a target price of $75.04 as multiple analysts adjust their price objectives.

Argus cut shares of Restaurant Brands International (NYSE:QSR - Free Report) TSE: QSR from a buy rating to a hold rating in a research note issued to investors on Friday morning, MarketBeat.com reports.

Several other equities analysts have also issued reports on QSR. Melius began coverage on Restaurant Brands International in a research report on Monday, July 14th. They issued a "buy" rating and a $90.00 price target for the company. Bank of America lowered their price target on Restaurant Brands International from $62.00 to $60.00 and set an "underperform" rating for the company in a research report on Friday, July 18th. Citigroup lowered their price target on Restaurant Brands International from $76.00 to $72.00 and set a "neutral" rating for the company in a research report on Friday, August 8th. UBS Group lowered their price target on Restaurant Brands International from $90.00 to $85.00 and set a "buy" rating for the company in a research report on Monday, May 5th. Finally, Guggenheim lifted their price target on Restaurant Brands International from $77.00 to $78.00 and gave the stock a "buy" rating in a research report on Wednesday. One research analyst has rated the stock with a sell rating, eleven have given a hold rating and eleven have given a buy rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average target price of $75.04.

Restaurant Brands International Stock Up 0.3%

Shares of QSR stock traded up $0.17 during mid-day trading on Friday, reaching $65.35. 1,687,402 shares of the company's stock traded hands, compared to its average volume of 2,069,192. Restaurant Brands International has a 12 month low of $58.71 and a 12 month high of $74.09. The company has a market cap of $21.42 billion, a P/E ratio of 24.75, a P/E/G ratio of 2.81 and a beta of 0.58. The company has a quick ratio of 0.95, a current ratio of 1.01 and a debt-to-equity ratio of 2.69. The company's 50-day moving average price is $67.52 and its 200-day moving average price is $66.62.

Restaurant Brands International (NYSE:QSR - Get Free Report) TSE: QSR last announced its earnings results on Thursday, August 7th. The restaurant operator reported $0.94 EPS for the quarter, missing analysts' consensus estimates of $0.97 by ($0.03). Restaurant Brands International had a net margin of 9.43% and a return on equity of 29.54%. The business had revenue of $2.41 billion for the quarter, compared to the consensus estimate of $2.33 billion. During the same quarter last year, the firm posted $0.86 EPS. The business's quarterly revenue was up 15.9% on a year-over-year basis. On average, equities analysts expect that Restaurant Brands International will post 3.72 earnings per share for the current fiscal year.

Restaurant Brands International Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, October 7th. Stockholders of record on Tuesday, September 23rd will be given a dividend of $0.62 per share. The ex-dividend date of this dividend is Tuesday, September 23rd. This represents a $2.48 annualized dividend and a dividend yield of 3.8%. Restaurant Brands International's dividend payout ratio is presently 93.94%.

Insider Activity at Restaurant Brands International

In related news, insider Jacqueline Friesner sold 70,000 shares of the business's stock in a transaction that occurred on Friday, May 23rd. The stock was sold at an average price of $70.08, for a total transaction of $4,905,600.00. Following the completion of the transaction, the insider directly owned 182,897 shares in the company, valued at approximately $12,817,421.76. The trade was a 27.68% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 1.25% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Capital World Investors grew its stake in shares of Restaurant Brands International by 2.0% during the 4th quarter. Capital World Investors now owns 43,418,188 shares of the restaurant operator's stock valued at $2,829,974,000 after acquiring an additional 841,167 shares during the period. Royal Bank of Canada boosted its stake in Restaurant Brands International by 16.7% in the 1st quarter. Royal Bank of Canada now owns 22,626,635 shares of the restaurant operator's stock worth $1,507,839,000 after purchasing an additional 3,230,735 shares during the period. Vanguard Group Inc. boosted its stake in Restaurant Brands International by 8.0% in the 2nd quarter. Vanguard Group Inc. now owns 15,303,726 shares of the restaurant operator's stock worth $1,015,137,000 after purchasing an additional 1,134,665 shares during the period. EdgePoint Investment Group Inc. boosted its stake in Restaurant Brands International by 7.0% in the 1st quarter. EdgePoint Investment Group Inc. now owns 13,715,604 shares of the restaurant operator's stock worth $914,463,000 after purchasing an additional 896,034 shares during the period. Finally, Goldman Sachs Group Inc. boosted its stake in Restaurant Brands International by 0.6% in the 1st quarter. Goldman Sachs Group Inc. now owns 8,108,527 shares of the restaurant operator's stock worth $540,352,000 after purchasing an additional 47,192 shares during the period. 82.29% of the stock is currently owned by institutional investors.

Restaurant Brands International Company Profile

Restaurant Brands International Inc operates as a quick-service restaurant company in Canada, the United States, and internationally. It operates through four segments: Tim Hortons (TH), Burger King (BK), Popeyes Louisiana Kitchen (PLK), and Firehouse Subs (FHS). The company owns and franchises TH chain of donut/coffee/tea restaurants that offer blend coffee, tea, and espresso-based hot and cold specialty drinks; and fresh baked goods, including donuts, Timbits, bagels, muffins, cookies and pastries, grilled paninis, classic sandwiches, wraps, soups, and other food products.