With subscription services emerging as the new mantra across different industries to lure customers, Restaurant Brands International’s Burger King on Thursday announced the launch of its $5 monthly coffee subscription plan to build brand loyalty.
According to the company, the coffee subscription program would be run through its app and is likely to get customers into their stores in the morning to check out their other breakfast offerings.
With the battle between the fast food restaurants like Burger King, McDonald’s and Dunkin’ heating up in recent times for a greater share of the early morning customers, Burger King seems to win the first round with its innovative coffee subscription program.
Furthermore, the company also introduced its own brand of coffee following the footsteps of its arch rival McDonald’s, who had recently launched McCafe. The company has also been investing in digital across all of its portfolio.
QSR saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on May 17, 2023. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 49 instances where the indicator turned negative. In of the 49 cases the stock moved lower in the days that followed. This puts the odds of a downward move at .
The 10-day RSI Indicator for QSR moved out of overbought territory on May 19, 2023. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 37 similar instances where the indicator moved out of overbought territory. In of the 37 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on May 30, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on QSR as a result. In of 86 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where QSR declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
QSR broke above its upper Bollinger Band on May 02, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 62 cases where QSR's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where QSR advanced for three days, in of 314 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 241 cases where QSR Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (8.757) is normal, around the industry mean (8.561). P/E Ratio (22.124) is within average values for comparable stocks, (162.858). QSR's Projected Growth (PEG Ratio) (3.072) is slightly higher than the industry average of (2.142). Dividend Yield (0.030) settles around the average of (0.032) among similar stocks. P/S Ratio (4.953) is also within normal values, averaging (50.687).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. QSR’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 86, placing this stock slightly better than average.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
an operator of restaurants
A.I.dvisor indicates that over the last year, QSR has been loosely correlated with YUM. These tickers have moved in lockstep 60% of the time. This A.I.-generated data suggests there is some statistical probability that if QSR jumps, then YUM could also see price increases.
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