Why is Restaurant Brand falling/rising?
As of 04-Jul, Restaurant Brands Asia Ltd's stock price is at 81.98, reflecting a decline of 0.65% and a year-to-date drop of 3.39%. Despite increased investor participation and high institutional holdings, the company faces challenges with weak fundamentals and has consistently underperformed against the market benchmark.
As of 04-Jul, Restaurant Brands Asia Ltd is experiencing a decline in its stock price, currently at 81.98, which reflects a decrease of 0.54 or 0.65%. The stock has underperformed its sector by 1.26% today, despite showing higher performance than its 20-day, 50-day, and 100-day moving averages. Over the past week, the stock has increased by 0.97%, but it has a year-to-date decline of 3.39% and a significant drop of 24.37% over the past year. The company has seen a rise in investor participation, with delivery volume increasing by 280.52% against the 5-day average, and it maintains high institutional holdings at 60.81%, which have increased by 6.62% over the previous quarter. However, the company faces challenges with weak long-term fundamentals, including a return on capital employed of 0% and a high debt-to-EBITDA ratio of 5.02 times, which contribute to its negative operating profits.In the broader market context, the stock's performance has been notably weaker compared to the benchmark, with the Sensex showing a positive return of 6.77% year-to-date, while Restaurant Brands has declined. The stock has consistently underperformed against the benchmark over the last three years, indicating a trend of negative returns, including a 24.37% drop in the past year. This consistent underperformance, coupled with flat results and a low ability to service debt, paints a concerning picture for potential investors, further exacerbating the stock's decline in value.
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