Restaurant Brands International (NYSE:QSR) Reaches New 52-Week High - Time to Buy?

Key Points

• 52-week high: Restaurant Brands International hit a new 52-week high of $81.69 and analyst sentiment is bullish — a consensus "Moderate Buy" with an average price target of $82.04 and individual targets raised as high as $90.
• Earnings & dividend: The company beat Q4 estimates (EPS $0.96 vs. $0.93; revenue $2.47B vs. $2.41B) with 7.4% revenue growth and raised the quarterly dividend to $0.65 (3.2% yield), though the payout ratio is high at 110.17%.
• Insider selling & leverage: Insiders have sold 441,490 shares (~$32.4M) in the last 90 days including the CEO's 200,000-share sale, and the company shows notable leverage (debt-to-equity 2.62) with a P/E of 34.6.

Restaurant Brands International Inc. (NYSE:QSR - Get Free Report) TSE: QSR's share price reached a new 52-week high on Tuesday . The stock traded as high as $81.69 and last traded at $81.6060, with a volume of 1623065 shares trading hands. The stock had previously closed at $80.05.

Analyst Ratings Changes

Several equities analysts have recently issued reports on the company. Piper Sandler raised Restaurant Brands International from a "neutral" rating to an "overweight" rating and boosted their price objective for the company from $71.00 to $84.00 in a report on Monday, March 2nd. JPMorgan Chase & Co. boosted their price objective on Restaurant Brands International from $77.00 to $80.00 and gave the company an "overweight" rating in a report on Friday, April 24th. Citigroup boosted their price objective on Restaurant Brands International from $76.00 to $88.00 and gave the company a "neutral" rating in a report on Thursday, April 23rd. Stifel Nicolaus raised Restaurant Brands International from a "hold" rating to a "buy" rating and boosted their price objective for the company from $68.00 to $90.00 in a report on Monday, March 2nd. Finally, Guggenheim boosted their price objective on Restaurant Brands International from $79.00 to $80.00 and gave the company a "buy" rating in a report on Friday, February 27th. Sixteen research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $82.04.

Restaurant Brands International Stock Up 2.0%

The company has a market cap of $28.37 billion, a price-to-earnings ratio of 34.61, a PEG ratio of 2.25 and a beta of 0.53. The company has a current ratio of 0.98, a quick ratio of 0.91 and a debt-to-equity ratio of 2.62. The business has a fifty day moving average of $74.90 and a two-hundred day moving average of $71.01.

Restaurant Brands International (NYSE:QSR - Get Free Report) TSE: QSR last released its quarterly earnings results on Thursday, February 12th. The restaurant operator reported $0.96 earnings per share for the quarter, topping analysts' consensus estimates of $0.93 by $0.03. The company had revenue of $2.47 billion during the quarter, compared to analysts' expectations of $2.41 billion. Restaurant Brands International had a return on equity of 32.51% and a net margin of 8.23%.Restaurant Brands International's quarterly revenue was up 7.4% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.81 EPS. As a group, equities analysts anticipate that Restaurant Brands International Inc. will post 4.05 EPS for the current fiscal year.

Restaurant Brands International Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, April 2nd. Investors of record on Thursday, March 19th were issued a $0.65 dividend. This represents a $2.60 dividend on an annualized basis and a yield of 3.2%. The ex-dividend date of this dividend was Thursday, March 19th. This is a positive change from Restaurant Brands International's previous quarterly dividend of $0.62. Restaurant Brands International's payout ratio is currently 110.17%.

Insider Buying and Selling

In other Restaurant Brands International news, insider Jacqueline Friesner sold 30,000 shares of the business's stock in a transaction that occurred on Monday, March 16th. The stock was sold at an average price of $74.61, for a total transaction of $2,238,300.00. Following the completion of the sale, the insider directly owned 165,727 shares in the company, valued at approximately $12,364,891.47. The trade was a 15.33% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Joshua Kobza sold 200,000 shares of the business's stock in a transaction that occurred on Wednesday, March 18th. The stock was sold at an average price of $75.05, for a total value of $15,010,000.00. Following the sale, the chief executive officer owned 960,769 shares of the company's stock, valued at approximately $72,105,713.45. This trade represents a 17.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 441,490 shares of company stock worth $32,375,140 in the last ninety days. 1.25% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Restaurant Brands International

Several large investors have recently bought and sold shares of QSR. Lloyd Advisory Services LLC. purchased a new stake in Restaurant Brands International during the 4th quarter worth approximately $25,000. Larson Financial Group LLC increased its stake in Restaurant Brands International by 1,922.2% during the 4th quarter. Larson Financial Group LLC now owns 364 shares of the restaurant operator's stock worth $25,000 after buying an additional 346 shares in the last quarter. Steigerwald Gordon & Koch Inc. purchased a new stake in Restaurant Brands International during the 3rd quarter worth approximately $29,000. Loring Wolcott & Coolidge Fiduciary Advisors LLP MA purchased a new stake in Restaurant Brands International during the 4th quarter worth approximately $29,000. Finally, UMB Bank n.a. increased its stake in Restaurant Brands International by 50.4% during the 4th quarter. UMB Bank n.a. now owns 639 shares of the restaurant operator's stock worth $44,000 after buying an additional 214 shares in the last quarter. 82.29% of the stock is currently owned by hedge funds and other institutional investors.

Restaurant Brands International Company Profile

Restaurant Brands International Inc NYSE: QSR is a global quick-service restaurant company formed through the combination of established brands. The company's principal holdings include Burger King, Tim Hortons and Popeyes, each of which operates under its own brand identity and menu. Restaurant Brands International's business is centered on developing and expanding these franchised restaurant systems, supporting franchisees with brand management, supply chain coordination, and marketing programs.

RBI's restaurants offer a range of quick-service food and beverage products: Burger King is known for its flame-grilled hamburgers and sandwiches, Tim Hortons for coffee, baked goods and breakfast items, and Popeyes for Louisiana-style fried chicken and seafood.

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