Why is Restaurant Brand falling/rising?
As of 12-Sep, Restaurant Brands Asia Ltd's stock price is at 81.10, reflecting a slight increase but facing long-term challenges with a 0% ROCE and a high Debt to EBITDA ratio. Despite recent short-term gains, the stock has underperformed significantly over the past year and year-to-date compared to the broader market.
As of 12-Sep, Restaurant Brands Asia Ltd is experiencing a slight increase in its stock price, currently at 81.10, reflecting a change of 0.15 (0.19%) upwards. The stock has outperformed its sector today by 1.34% and has shown a consecutive gain over the last three days, with a total return of 1.49% during this period. Despite this short-term positive movement, the company faces significant challenges, including weak long-term fundamental strength indicated by an average Return on Capital Employed (ROCE) of 0% and a high Debt to EBITDA ratio of 5.02 times. Additionally, the stock has consistently underperformed against the benchmark over the past three years, generating a return of -22.39% in the last year, which raises concerns about its long-term viability.In the broader market context, the stock's short-term return of +1.63% over the past week outpaces the Sensex, which has increased by +1.48% during the same period. However, the year-to-date performance shows a stark contrast, with Restaurant Brands down by -4.43% compared to the Sensex's gain of +4.82%. This divergence highlights the stock's ongoing struggles despite recent gains, as it continues to lag behind the broader market trends. The high institutional holdings at 60.5% suggest that informed investors are closely monitoring the company's fundamentals, which may influence future price movements.
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