RESTAURANT BRANDS INTERN (QSR.CA) Stock Fundamental Analysis
Canada - TSX:QSR - CA76131D1033 - Common Stock
95.1 CAD
-1.17 (-1.22%)
Overall QSR gets a fundamental rating of 5 out of 10. We evaluated QSR against 18 industry peers in the Hotels, Restaurants & Leisure industry. While QSR belongs to the best of the industry regarding profitability, there are concerns on its financial health. QSR has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
QSR had positive earnings in the past year.
In the past year QSR had a positive cash flow from operations.
Each year in the past 5 years QSR has been profitable.
In the past 5 years QSR always reported a positive cash flow from operatings.
1.2 Ratios
QSR has a better Return On Assets (3.34%) than 66.67% of its industry peers.
QSR's Return On Equity of 25.90% is amongst the best of the industry. QSR outperforms 100.00% of its industry peers.
The Return On Invested Capital of QSR (8.19%) is better than 83.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for QSR is in line with the industry average of 6.54%.
The last Return On Invested Capital (8.19%) for QSR is above the 3 year average (8.03%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.34% | ||
| ROE | 25.9% | ||
| ROIC | 8.19% |
ROA(3y)4.55%
ROA(5y)3.88%
ROE(3y)38.23%
ROE(5y)34.92%
ROIC(3y)8.03%
ROIC(5y)7.44%
1.3 Margins
QSR has a Profit Margin of 9.43%. This is in the better half of the industry: QSR outperforms 72.22% of its industry peers.
In the last couple of years the Profit Margin of QSR has remained more or less at the same level.
With a decent Operating Margin value of 25.82%, QSR is doing good in the industry, outperforming 77.78% of the companies in the same industry.
In the last couple of years the Operating Margin of QSR has declined.
QSR's Gross Margin of 54.76% is fine compared to the rest of the industry. QSR outperforms 66.67% of its industry peers.
In the last couple of years the Gross Margin of QSR has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.82% | ||
| PM (TTM) | 9.43% | ||
| GM | 54.76% |
OM growth 3Y-5.89%
OM growth 5Y-5.16%
PM growth 3Y-5.95%
PM growth 5Y1.14%
GM growth 3Y-4.56%
GM growth 5Y-2.9%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), QSR is creating some value.
Compared to 1 year ago, QSR has more shares outstanding
Compared to 5 years ago, QSR has more shares outstanding
The debt/assets ratio for QSR has remained at the same level compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.36, we must say that QSR is in the distress zone and has some risk of bankruptcy.
QSR's Altman-Z score of 1.36 is fine compared to the rest of the industry. QSR outperforms 66.67% of its industry peers.
QSR has a debt to FCF ratio of 11.45. This is a negative value and a sign of low solvency as QSR would need 11.45 years to pay back of all of its debts.
QSR has a Debt to FCF ratio (11.45) which is comparable to the rest of the industry.
QSR has a Debt/Equity ratio of 4.13. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of QSR (4.13) is worse than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.13 | ||
| Debt/FCF | 11.45 | ||
| Altman-Z | 1.36 |
ROIC/WACC1.14
WACC7.16%
2.3 Liquidity
QSR has a Current Ratio of 1.01. This is a normal value and indicates that QSR is financially healthy and should not expect problems in meeting its short term obligations.
QSR's Current ratio of 1.01 is fine compared to the rest of the industry. QSR outperforms 66.67% of its industry peers.
QSR has a Quick Ratio of 1.01. This is a bad value and indicates that QSR is not financially healthy enough and could expect problems in meeting its short term obligations.
QSR has a Quick ratio of 0.95. This is in the better half of the industry: QSR outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
QSR shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.95%.
QSR shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.05% yearly.
The Revenue has grown by 19.71% in the past year. This is quite good.
QSR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.45% yearly.
EPS 1Y (TTM)7.95%
EPS 3Y5.7%
EPS 5Y4.05%
EPS Q2Q%10.75%
Revenue 1Y (TTM)19.71%
Revenue growth 3Y13.57%
Revenue growth 5Y8.45%
Sales Q2Q%6.9%
3.2 Future
The Earnings Per Share is expected to grow by 8.42% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.63% on average over the next years.
EPS Next Y10.91%
EPS Next 2Y10.27%
EPS Next 3Y9.74%
EPS Next 5Y8.42%
Revenue Next Year10.6%
Revenue Next 2Y7.13%
Revenue Next 3Y5.77%
Revenue Next 5Y4.63%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 19.13, the valuation of QSR can be described as rather expensive.
QSR's Price/Earnings ratio is in line with the industry average.
QSR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.83.
Based on the Price/Forward Earnings ratio of 16.67, the valuation of QSR can be described as correct.
QSR's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. QSR is cheaper than 66.67% of the companies in the same industry.
QSR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 32.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.13 | ||
| Fwd PE | 16.67 |
4.2 Price Multiples
QSR's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. QSR is cheaper than 61.11% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of QSR indicates a somewhat cheap valuation: QSR is cheaper than 61.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.18 | ||
| EV/EBITDA | 13.3 |
4.3 Compensation for Growth
QSR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
QSR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.75
PEG (5Y)4.72
EPS Next 2Y10.27%
EPS Next 3Y9.74%
5. Dividend
5.1 Amount
QSR has a Yearly Dividend Yield of 3.70%.
Compared to an average industry Dividend Yield of 4.22, QSR pays a bit more dividend than its industry peers.
QSR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.7% |
5.2 History
The dividend of QSR decreases each year by -6.89%.
QSR has been paying a dividend for at least 10 years, so it has a reliable track record.
QSR has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)-6.89%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
QSR pays out 124.21% of its income as dividend. This is not a sustainable payout ratio.
DP124.21%
EPS Next 2Y10.27%
EPS Next 3Y9.74%
TSX:QSR (11/7/2025, 7:00:00 PM)
95.1
-1.17 (-1.22%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners90.39%
Inst Owner ChangeN/A
Ins Owners1.34%
Ins Owner ChangeN/A
Market Cap31.17B
Revenue(TTM)8.41B
Net Income(TTM)859.00M
Analysts75.83
Price Target109.84 (15.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.7% |
Yearly Dividend3.22
Dividend Growth(5Y)-6.89%
DP124.21%
Div Incr Years9
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.42%
Min EPS beat(2)-5.14%
Max EPS beat(2)-3.69%
EPS beat(4)1
Avg EPS beat(4)-2.52%
Min EPS beat(4)-5.14%
Max EPS beat(4)2.01%
EPS beat(8)4
Avg EPS beat(8)-0.68%
EPS beat(12)7
Avg EPS beat(12)2.98%
EPS beat(16)11
Avg EPS beat(16)3.51%
Revenue beat(2)1
Avg Revenue beat(2)0.48%
Min Revenue beat(2)-1.82%
Max Revenue beat(2)2.77%
Revenue beat(4)1
Avg Revenue beat(4)-0.18%
Min Revenue beat(4)-1.82%
Max Revenue beat(4)2.77%
Revenue beat(8)3
Avg Revenue beat(8)-0.14%
Revenue beat(12)7
Avg Revenue beat(12)0.26%
Revenue beat(16)10
Avg Revenue beat(16)0.48%
PT rev (1m)1.09%
PT rev (3m)0.98%
EPS NQ rev (1m)-0.57%
EPS NQ rev (3m)-0.63%
EPS NY rev (1m)-0.31%
EPS NY rev (3m)-0.68%
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)1.77%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)1.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.13 | ||
| Fwd PE | 16.67 | ||
| P/S | 2.43 | ||
| P/FCF | 18.18 | ||
| P/OCF | 15.25 | ||
| P/B | 6.67 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.3 |
EPS(TTM)4.97
EY5.23%
EPS(NY)5.71
Fwd EY6%
FCF(TTM)5.23
FCFY5.5%
OCF(TTM)6.24
OCFY6.56%
SpS39.15
BVpS14.26
TBVpS-61.31
PEG (NY)1.75
PEG (5Y)4.72
Graham Number39.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.34% | ||
| ROE | 25.9% | ||
| ROCE | 10.25% | ||
| ROIC | 8.19% | ||
| ROICexc | 8.57% | ||
| ROICexgc | 43.39% | ||
| OM | 25.82% | ||
| PM (TTM) | 9.43% | ||
| GM | 54.76% | ||
| FCFM | 13.36% |
ROA(3y)4.55%
ROA(5y)3.88%
ROE(3y)38.23%
ROE(5y)34.92%
ROIC(3y)8.03%
ROIC(5y)7.44%
ROICexc(3y)8.51%
ROICexc(5y)7.9%
ROICexgc(3y)52.12%
ROICexgc(5y)49.93%
ROCE(3y)10.05%
ROCE(5y)9.31%
ROICexgc growth 3Y-4.66%
ROICexgc growth 5Y-3.62%
ROICexc growth 3Y5.76%
ROICexc growth 5Y1.01%
OM growth 3Y-5.89%
OM growth 5Y-5.16%
PM growth 3Y-5.95%
PM growth 5Y1.14%
GM growth 3Y-4.56%
GM growth 5Y-2.9%
F-Score6
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.13 | ||
| Debt/FCF | 11.45 | ||
| Debt/EBITDA | 5.16 | ||
| Cap/Depr | 76.97% | ||
| Cap/Sales | 2.57% | ||
| Interest Coverage | 3.11 | ||
| Cash Conversion | 54.65% | ||
| Profit Quality | 141.68% | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.95 | ||
| Altman-Z | 1.36 |
F-Score6
WACC7.16%
ROIC/WACC1.14
Cap/Depr(3y)63.87%
Cap/Depr(5y)61.25%
Cap/Sales(3y)1.88%
Cap/Sales(5y)1.97%
Profit Quality(3y)122.17%
Profit Quality(5y)145.05%
High Growth Momentum
Growth
EPS 1Y (TTM)7.95%
EPS 3Y5.7%
EPS 5Y4.05%
EPS Q2Q%10.75%
EPS Next Y10.91%
EPS Next 2Y10.27%
EPS Next 3Y9.74%
EPS Next 5Y8.42%
Revenue 1Y (TTM)19.71%
Revenue growth 3Y13.57%
Revenue growth 5Y8.45%
Sales Q2Q%6.9%
Revenue Next Year10.6%
Revenue Next 2Y7.13%
Revenue Next 3Y5.77%
Revenue Next 5Y4.63%
EBIT growth 1Y5.95%
EBIT growth 3Y6.88%
EBIT growth 5Y2.85%
EBIT Next Year23.03%
EBIT Next 3Y11.54%
EBIT Next 5Y9.29%
FCF growth 1Y2.44%
FCF growth 3Y-7.03%
FCF growth 5Y-1.64%
OCF growth 1Y10.93%
OCF growth 3Y-4.51%
OCF growth 5Y0.36%
RESTAURANT BRANDS INTERN / QSR.CA FAQ
What is the ChartMill fundamental rating of RESTAURANT BRANDS INTERN (QSR.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to QSR.CA.
What is the valuation status for QSR stock?
ChartMill assigns a valuation rating of 5 / 10 to RESTAURANT BRANDS INTERN (QSR.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for RESTAURANT BRANDS INTERN?
RESTAURANT BRANDS INTERN (QSR.CA) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for QSR stock?
The Price/Earnings (PE) ratio for RESTAURANT BRANDS INTERN (QSR.CA) is 19.13 and the Price/Book (PB) ratio is 6.67.
What is the expected EPS growth for RESTAURANT BRANDS INTERN (QSR.CA) stock?
The Earnings per Share (EPS) of RESTAURANT BRANDS INTERN (QSR.CA) is expected to grow by 10.91% in the next year.