ScoreWhy is Restaurant Brands International LP ?
1
High Management Efficiency with a high ROCE of 12.28%
2
Strong Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 12.28%
3
With a growth in Net Profit of 151.83%, the company declared Very Positive results in Jun 26
- The company has declared positive results for the last 4 consecutive quarters
- OPERATING CASH FLOW(Y) Highest at CAD 2,639.06 MM
- ROCE(HY) Highest at 33.72%
- DEBT-EQUITY RATIO (HY) Lowest at 270.5 %
4
With ROE of 26.99%, it has a fair valuation with a 6.29 Price to Book Value
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 14.12%, its profits have risen by 3.9% ; the PEG ratio of the company is 1.1
5
Underperformed the market in the last 1 year
- The stock has generated a return of 14.12% in the last 1 year, much lower than market (S&P/TSX 60) returns of 30.16%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Restaurant Brands International LP should be less than 10%
- Overall Portfolio exposure to Leisure Services should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Leisure Services)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Restaurant Brands International LP for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Restaurant Brands International LP
17.77%
0.41
21.44%
S&P/TSX 60
20.36%
2.51
12.02%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
14.96%
EBIT Growth (5y)
11.51%
EBIT to Interest (avg)
3.44
Debt to EBITDA (avg)
5.03
Net Debt to Equity (avg)
2.69
Sales to Capital Employed (avg)
0.46
Tax Ratio
13.33%
Dividend Payout Ratio
104.02%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
13.12%
ROE (avg)
30.33%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
23
Industry P/E
Price to Book Value
6.29
EV to EBIT
17.53
EV to EBITDA
15.70
EV to Capital Employed
2.57
EV to Sales
4.82
PEG Ratio
1.12
Dividend Yield
NA
ROCE (Latest)
14.69%
ROE (Latest)
26.99%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend29What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CAD 2,639.06 MM
ROCE(HY)
Highest at 33.72%
DEBT-EQUITY RATIO
(HY)
Lowest at 270.5 %
DIVIDEND PER SHARE(HY)
Highest at CAD 12.21
INTEREST COVERAGE RATIO(Q)
Highest at 462.35
RAW MATERIAL COST(Y)
Fallen by -0.52% (YoY
NET SALES(Q)
Highest at CAD 3,488.65 MM
OPERATING PROFIT(Q)
Highest at CAD 1,088.13 MM
PRE-TAX PROFIT(Q)
Highest at CAD 818.17 MM
NET PROFIT(Q)
Highest at CAD 919.23 MM
EPS(Q)
Highest at CAD 2
-3What is not working for the Company
DIVIDEND PAYOUT RATIO(Y)
Lowest at 46.1%
DEBT-EQUITY RATIO
(HY)
Highest at 373.4 %
OPERATING PROFIT MARGIN(Q)
Lowest at 28.13 %
Here's what is working for Restaurant Brands International LP
Operating Cash Flow
Highest at CAD 2,639.06 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CAD MM)
Interest Coverage Ratio
Highest at 462.35
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Profit
At CAD 919.23 MM has Grown at 140.49%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (CAD MM)
Debt-Equity Ratio
Lowest at 270.5 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Dividend per share
Highest at CAD 12.21 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (CAD)
Net Sales
Highest at CAD 3,488.65 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (CAD MM)
Operating Profit
Highest at CAD 1,088.13 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (CAD MM)
Pre-Tax Profit
Highest at CAD 818.17 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CAD MM)
Pre-Tax Profit
At CAD 818.17 MM has Grown at 60.99%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CAD MM)
Net Profit
Highest at CAD 919.23 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CAD MM)
Net Profit
At CAD 708.8 MM has Grown at 85.43%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (CAD MM)
EPS
Highest at CAD 2
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CAD)
Raw Material Cost
Fallen by -0.52% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Restaurant Brands International LP
Operating Profit Margin
Lowest at 28.13 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Debt-Equity Ratio
Highest at 373.4 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Dividend Payout Ratio
Lowest at 46.1%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
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