Latest News

Is This a New Bull Market? You Haven’t Missed Out on Restaurant Brands


One thing that investors have learned from the downfall of the market two years back is the importance of adding dividend or growth stocks to their portfolios. During market turbulence, these are the stocks that help in balancing the regular cash flow and dividend payments. 

In my view, one of the top ways for investors to manage their risk in good markets and bad is Restaurant Brands (TSX:QSR). If we’re on the precipice of a recession, QSR stock is one to hold. However, if this is the beginning of a new bull market, as the data suggest, then this is still a stock to own.

Here’s why.

Recent results show strength across core business lines

When picking a “forever stock” for the portfolio, it’s important to consider the staying power of such companies. One of the ways investors can do this is by assessing a company’s earnings reports and ensuring it’s moving in the right direction.

In short, since the pandemic began (which was an amazing buying opportunity in hindsight), Restaurant Brands has been hitting the ball out of the park. In the company’s most recent second-quarter (Q2) results released last week, the company posted 14% consolidated system-wide sales growth on a year-over-year basis. For a company of this size, that’s very impressive.

Additionally, the company noted that it officially surpassed the 30,000 restaurant mark in terms of global locations and over $40 billion in system-wide sales over the past year. Those are staggering numbers.

For those who believe fast food will remain in style for quite some time, QSR stock looks like one of the best opportunities in the market right now, in my view.

Bottom line

My take on Restaurant Brands is relatively simple. This is a company that should provide meaningful growth whether macroeconomic conditions deteriorate or remain in a stable upward trend.

People need to eat, and the brand loyalty Restaurant Brands has garnered via its core Burger King, Tim Hortons, Popeyes Louisiana Kitchen, and Firehouse Subs banners is noteworthy. Interestingly, the company’s growth rate has accelerated from 2021/2022 to 2022/2023. For those seeking a rock-solid company with excellent growth prospects, this is one to keep on the radar.

The post Is This a New Bull Market? You Haven’t Missed Out on Restaurant Brands appeared first on The Motley Fool Canada.

Should You Invest $1,000 In Restaurant Brands International?

Before you consider Restaurant Brands International, you’ll want to hear this.

Our market-beating analyst team just revealed what they believe are the 5 best stocks for investors to buy in August 2023… and Restaurant Brands International wasn’t on the list.

The online investing service they’ve run for nearly a decade, Motley Fool Stock Advisor Canada, is beating the TSX by 26 percentage points. And right now, they think there are 5 stocks that are better buys.

See the 5 Stocks
* Returns as of 8/16/23

setButtonColorDefaults(“#5FA85D”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43A24A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);

More reading

Planning Your Golden Years? Top 3 Stocks for Canadian RRSP Investors
3 Underrated Warren Buffett Stocks That Are Smart Buys Right Now
Set and Forget: 2 Dirt-Cheap Stocks to Stash in a TFSA for 15 Years
Passive Income in a TFSA: A Restaurant Gem With an Impressive Yield!
2 Warren Buffett Stocks to Buy Hand Over Fist and 1 To Avoid

Fool contributor Chris MacDonald has positions in Restaurant Brands International. The Motley Fool recommends Restaurant Brands International. The Motley Fool has a disclosure policy.

This Hot Growth Stock Is Still a Buy After Enormous Gains

Previous article

Set and Forget: 1 Dividend Stock That Could Create $46,058 in Tax-Free Passive Income in 10 Years

Next article

You may also like


Leave a reply

Your email address will not be published. Required fields are marked *

More in Latest News