Scotiabank Issues Pessimistic Forecast for Restaurant Brands International (NYSE:QSR) Stock Price

Key Points

• Scotiabank has reduced its target price for Restaurant Brands International (NYSE:QSR) from $75.00 to $71.00, suggesting a potential upside of 9.49% from the current stock price.
• Multiple analysts have adjusted their price targets for QSR, with ratings ranging from "buy" to "hold," indicating a mixed outlook for the stock's performance.
• The company's latest quarterly earnings report showed a missed earnings estimate, with earnings per share at $0.94 compared to expectations of $0.97, although revenue increased 15.9% year-over-year.

Restaurant Brands International (NYSE:QSR - Free Report) TSE: QSR had its price target cut by Scotiabank from $75.00 to $71.00 in a research note released on Friday morning, Marketbeat Ratings reports. They currently have a sector perform rating on the restaurant operator's stock.

Several other brokerages also recently weighed in on QSR. Oppenheimer increased their target price on Restaurant Brands International from $77.00 to $80.00 and gave the company an "outperform" rating in a research note on Tuesday, May 27th. Truist Financial increased their target price on Restaurant Brands International from $78.00 to $81.00 and gave the company a "buy" rating in a research note on Wednesday, July 9th. Bank of America decreased their target price on Restaurant Brands International from $62.00 to $60.00 and set an "underperform" rating for the company in a research note on Friday, July 18th. Citigroup decreased their target price on Restaurant Brands International from $76.00 to $72.00 and set a "neutral" rating for the company in a research note on Friday, August 8th. Finally, CIBC decreased their target price on Restaurant Brands International from $78.00 to $77.00 and set an "outperformer" rating for the company in a research note on Friday, May 9th. One analyst has rated the stock with a sell rating, ten have issued a hold rating and twelve have given a buy rating to the stock. According to MarketBeat, the company currently has an average rating of "Hold" and an average price target of $75.04.

Restaurant Brands International Stock Up 0.8%

Shares of NYSE:QSR traded up $0.51 on Friday, reaching $65.32. The company had a trading volume of 216,633 shares, compared to its average volume of 2,482,128. Restaurant Brands International has a twelve month low of $58.71 and a twelve month high of $74.09. The stock has a 50-day moving average price of $67.88 and a 200 day moving average price of $66.52. The stock has a market capitalization of $21.41 billion, a P/E ratio of 24.74, a P/E/G ratio of 2.59 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.

Restaurant Brands International (NYSE:QSR - Get Free Report) TSE: QSR last announced its quarterly earnings results on Thursday, August 7th. The restaurant operator reported $0.94 earnings per share for the quarter, missing analysts' consensus estimates of $0.97 by ($0.03). Restaurant Brands International had a return on equity of 29.54% and a net margin of 9.43%. The company had revenue of $2.41 billion during the quarter, compared to analyst estimates of $2.33 billion. During the same period in the prior year, the firm earned $0.86 EPS. Restaurant Brands International'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 EPS for the current year.

Restaurant Brands International Dividend Announcement

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

Insider Activity

In other news, insider Jacqueline Friesner sold 70,000 shares of the stock in a transaction that occurred on Friday, May 23rd. The stock was sold at an average price of $70.08, for a total value of $4,905,600.00. Following the completion of the transaction, the insider directly owned 182,897 shares of the company's stock, valued at approximately $12,817,421.76. This represents a 27.68% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Insiders own 1.25% of the company's stock.

Hedge Funds Weigh In On Restaurant Brands International

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

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.