Zacks Research Analysts Cut Earnings Estimates for QSR

Key Points

• Zacks Research lowered Restaurant Brands International’s Q3 2026 EPS estimate to $1.05 from $1.09. Its current full-year consensus estimate is $4.03 per share, with forecasts of $4.53 for FY2028.
• Analyst sentiment remains favorable overall, with 16 Buy ratings and eight Holds producing a “Moderate Buy” consensus and an average price target of $83.70.
• RBI recently reported Q2 EPS of $1.07, exceeding estimates by $0.03, while revenue rose 4.6% year over year to $2.52 billion. The company also declared a quarterly dividend of $0.65, equivalent to a 3.2% annualized yield.

Restaurant Brands International Inc. (NYSE:QSR - Free Report) TSE: QSR - Stock analysts at Zacks Research cut their Q3 2026 earnings per share (EPS) estimates for Restaurant Brands International in a research report issued to clients and investors on Thursday, August 20th. Zacks Research analyst Team now expects that the restaurant operator will post earnings per share of $1.05 for the quarter, down from their previous forecast of $1.09. The consensus estimate for Restaurant Brands International's current full-year earnings is $4.03 per share. Zacks Research also issued estimates for Restaurant Brands International's Q1 2027 earnings at $0.91 EPS and FY2028 earnings at $4.53 EPS.

Other research analysts have also recently issued research reports about the stock. Royal Bank Of Canada set a $85.00 target price on shares of Restaurant Brands International and gave the stock an "outperform" rating in a report on Tuesday, July 28th. TD Cowen upped their price target on shares of Restaurant Brands International from $79.00 to $80.00 and gave the company a "hold" rating in a report on Thursday, July 9th. Citigroup cut their price target on Restaurant Brands International from $84.00 to $78.00 and set a "neutral" rating on the stock in a research report on Friday, July 24th. Evercore reiterated an "outperform" rating and set a $88.00 price objective on shares of Restaurant Brands International in a research note on Friday, August 7th. Finally, Guggenheim boosted their price objective on Restaurant Brands International from $80.00 to $85.00 and gave the company a "buy" rating in a report on Tuesday, May 26th. Sixteen equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $83.70.

Restaurant Brands International Stock Performance

Shares of NYSE QSR opened at $80.74 on Monday. The company has a 50 day simple moving average of $74.52 and a two-hundred day simple moving average of $74.29. The stock has a market cap of $28.20 billion, a price-to-earnings ratio of 21.70, a PEG ratio of 2.19 and a beta of 0.50. The company has a current ratio of 1.01, a quick ratio of 0.92 and a debt-to-equity ratio of 2.49. Restaurant Brands International has a 12 month low of $61.33 and a 12 month high of $81.96.

Restaurant Brands International (NYSE:QSR - Get Free Report) TSE: QSR last issued its quarterly earnings results on Thursday, August 6th. The restaurant operator reported $1.07 earnings per share for the quarter, topping the consensus estimate of $1.04 by $0.03. Restaurant Brands International had a net margin of 13.12% and a return on equity of 33.43%. The company had revenue of $2.52 billion for the quarter, compared to the consensus estimate of $2.52 billion. During the same quarter in the prior year, the company earned $0.94 EPS. Restaurant Brands International's quarterly revenue was up 4.6% on a year-over-year basis.

Institutional Trading of Restaurant Brands International

Several hedge funds and other institutional investors have recently added to or reduced their stakes in QSR. Lloyd Advisory Services LLC. acquired a new position in shares of Restaurant Brands International in the fourth quarter worth about $25,000. Larson Financial Group LLC grew its position in shares of 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 valued at $25,000 after acquiring an additional 346 shares during the period. Western Wealth Management LLC acquired a new stake in shares of Restaurant Brands International during the 1st quarter valued at about $28,000. CoreCap Advisors LLC increased its stake in shares of Restaurant Brands International by 304.3% in the 2nd quarter. CoreCap Advisors LLC now owns 465 shares of the restaurant operator's stock valued at $34,000 after purchasing an additional 350 shares in the last quarter. Finally, Continuum Advisory LLC purchased a new position in shares of Restaurant Brands International in the 2nd quarter valued at about $37,000. Institutional investors and hedge funds own 82.29% of the company's stock.

Restaurant Brands International Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, October 2nd. Investors of record on Friday, September 18th will be paid a $0.65 dividend. This represents a $2.60 annualized dividend and a dividend yield of 3.2%. The ex-dividend date is Friday, September 18th. Restaurant Brands International's payout ratio is currently 69.89%.

Key Restaurant Brands International News

Here are the key news stories impacting Restaurant Brands International this week:

• Positive Sentiment: Zacks raised its FY2027 EPS estimate to $4.31 from $4.25, suggesting improved expectations for Restaurant Brands International’s longer-term earnings growth. Zacks also increased its forecasts for Q3 2027, Q4 2027 and Q1 2028.
• Positive Sentiment: The upward revisions could support investor sentiment because they indicate analysts still see potential for earnings expansion beyond the company’s current-year consensus estimate of $4.03 per share.
• Neutral Sentiment: Zacks expects Q2 2028 EPS of $1.19, below its prior $1.22 forecast, but the estimate remains part of a broader set of longer-term projections that includes several upward revisions.
• Negative Sentiment: Zacks reduced its estimates for Q4 2026 EPS to $1.00 from $1.04 and Q2 2027 EPS to $1.09 from $1.15. These cuts point to possible near-term pressure on operating performance or consumer demand.
• Negative Sentiment: Scotiabank lowered its FY2027 EPS forecast to $4.40 from $4.47 and retained a “Sector Perform” rating with an $81 price target, indicating limited expected upside based on its valuation view.

About Restaurant Brands International

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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