Restaurant Brands International

Restaurant Brands International operates as a quick-service restaurant company with four segments: Tim Hortons, Burger King, Popeyes Louisiana Kitchen, and Firehouse Subs. It owns and franchises donut/coffee/tea restaurants offering specialty drinks and baked goods. Burger King offers flame-grilled hamburgers and other food items. Popeyes provides Louisiana-style fried chicken and seafood. Firehouse Subs serves meats and cheese, salads, and soups. The company was founded in 1954 and is headquartered in Toronto, Canada.

Overview

Sector

Restaurants

Target Price

38.6 USD

Current Price

66.7 USD

Potential

-42%

Strengths

EV/EBIT (14.15) is lower than the sector mean.
Price to free cash flow (16.60) is lower than the sector mean.
Strong EBITDA Margin of 31.77%.

Weaknesses

With a depreciation Potential of -42.03%, based on our fundamental analysis, it suggests the stock may be overvalued.
The company has high debt. Net Debt to EBITDA Ratio (4.62) is higher than the sector mean.
The company have lower returns than the sector in which it operates. ROIC (8.95%) is significantly lower than the sector mean (16.85%).

Key Financial Data

Indicator	Value
PER	21.2
EV/EBITDA	12.7
Price/Free Cash Flow'	16.6
ROIC	9.0%
Net Debt/EBITDA	4.6