Investment analysts at Morgan Stanley have raised their price target for Restaurant Brands International (NYSE:QSR) from $77.00 to $78.00. This adjustment, outlined in a note issued to investors on February 12, 2024, maintains the firm’s “equal weight” rating on the stock, indicating a potential upside of 8.48% from its current price. This decision comes as part of a broader analysis of the company’s market performance.
Several other financial institutions have also updated their price targets for Restaurant Brands International. The Royal Bank of Canada increased its target from $80.00 to $83.00, assigning an “outperform” rating. Conversely, JPMorgan Chase & Co. reduced their target from $77.00 to $72.00, while maintaining an “overweight” rating. Guggenheim raised its target from $79.00 to $80.00, also giving a “buy” rating, whereas BMO Capital Markets decreased their target from $83.00 to $81.00 and reiterated an “outperform” position. Additionally, TD Cowen lowered its target from $74.00 to $72.00, assigning a “hold” rating.
Currently, fourteen equities research analysts have rated Restaurant Brands International as a “Buy,” while eight analysts have issued a “Hold” rating. One analyst has assigned a “Sell” rating. According to MarketBeat, the company holds a consensus rating of “Moderate Buy” with an average price target of $78.95.
Company Performance and Earnings
Restaurant Brands International recently reported its quarterly earnings on February 12, 2024. The company achieved earnings per share (EPS) of $0.96, exceeding the consensus estimate of $0.93 by $0.03. The total revenue for the quarter was $2.47 billion, surpassing analyst expectations of $2.41 billion. The firm’s net margin stood at 8.23%, with a return on equity of 32.51%. Compared to the same quarter last year, revenue increased by 7.4%.
Analysts forecast that Restaurant Brands International will post an EPS of $3.72 for the current fiscal year, reflecting optimism regarding its future financial performance.
Insider Trading Activity
In recent insider trading news, Sami A. Siddiqui, the Chief Financial Officer, sold 12,828 shares of the company on February 23, 2024, at an average price of $67.51, amounting to a total transaction of approximately $866,018.28. Post-transaction, Siddiqui retained 31,923 shares, valued at around $2,155,121.73, marking a 28.67% decrease in their ownership.
Another insider, Duncan Fulton, sold 10,308 shares on the same date, also at an average price of $67.51, totaling $695,893.08. Following this sale, Fulton holds 49,677 shares worth approximately $3,353,694.27, representing a 17.18% decrease in their stake. In total, insiders have sold 186,401 shares valued at $12,857,069 over the past quarter. Company insiders currently own 1.25% of Restaurant Brands International’s stock.
Institutional Investor Activity
Institutional investors have been active in adjusting their stakes in Restaurant Brands International recently. AQR Capital Management LLC established a new position in the company valued at approximately $237,000 during the first quarter. Assetmark Inc. raised its stake by 3.7% in the second quarter, acquiring an additional 1,059 shares, resulting in a total of 29,470 shares worth $1,954,000.
Similarly, Atria Investments Inc. increased its stake by 12.1%, now holding 5,250 shares valued at $348,000. Amalgamated Bank also acquired a new position worth around $1,463,000. Finally, Strs Ohio added a new position valued at approximately $2,370,000. Currently, institutional investors own 82.29% of Restaurant Brands International’s stock.
Restaurant Brands International, formed through the merger of established brands such as Burger King, Tim Hortons, and Popeyes, focuses on developing and expanding its franchised restaurant systems. Each brand operates under its unique identity, catering to various consumer preferences in the quick-service restaurant sector.
