A&W Revenue Royalties Income Fund

AW.UN-T

Analysis and Opinions about AW.UN-T

Signal
Opinion
Expert
DON'T BUY
DON'T BUY
June 4, 2020
The payout ratio is bumping on 100%. It is reasonably priced but has rolled off to get here. He would be concerned about the dividend.
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The payout ratio is bumping on 100%. It is reasonably priced but has rolled off to get here. He would be concerned about the dividend.
BUY
BUY
March 10, 2020

Will people be scared to eat out during the coronavirus scare? It's a great business. He likes the royalty model, because they can grow in a capital-lite fashion, meaning not beholden to huge capital expenditures. To increase stores, the franchisees pay for that, but they can't benefit from same-store sales growth. They're good at expanding locations and menu offerings that are popular and innovative like wild cod fillet and the Beyond Meat burger. The dividend is safe. Maybe the virus will effect them, but not for long and that will pressure only one quarterly report. Long run, no, the virus won't have an impact. After 9/11, people said no one will fly again, but years later, airlines were hot stocks.

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Will people be scared to eat out during the coronavirus scare? It's a great business. He likes the royalty model, because they can grow in a capital-lite fashion, meaning not beholden to huge capital expenditures. To increase stores, the franchisees pay for that, but they can't benefit from same-store sales growth. They're good at expanding locations and menu offerings that are popular and innovative like wild cod fillet and the Beyond Meat burger. The dividend is safe. Maybe the virus will effect them, but not for long and that will pressure only one quarterly report. Long run, no, the virus won't have an impact. After 9/11, people said no one will fly again, but years later, airlines were hot stocks.

PAST TOP PICK
PAST TOP PICK
March 9, 2020
(A Top Pick Dec 04/19, Down 15%) Any consumer stocks are terrible now. Don't buy then. However, now is seasonality, and the high dividends are attractive during volatile times. This failed to act as his hedge during volatility which upsetted him.
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(A Top Pick Dec 04/19, Down 15%) Any consumer stocks are terrible now. Don't buy then. However, now is seasonality, and the high dividends are attractive during volatile times. This failed to act as his hedge during volatility which upsetted him.
BUY
BUY
February 26, 2020
He likes A&W and royalties like these in general. A nice yield and good sales growth. They are marketing themselves as the healthy alternative fast food company. He thinks there are opportunities to expand further. Yield 5%
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He likes A&W and royalties like these in general. A nice yield and good sales growth. They are marketing themselves as the healthy alternative fast food company. He thinks there are opportunities to expand further. Yield 5%
WEAK BUY
WEAK BUY
February 18, 2020
It's gone sideways with the meatless burger and a brilliant ad campaign, but competitors have caught up a lot. He owns a little only. It doesn't trade in big volumes though. He'd still buy it. They have good locations in places like airports. Pays a good dividend. A long-term investment. Also, A&W is conscious of ESG and has made green initiatives to attract younger customers and investors.
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It's gone sideways with the meatless burger and a brilliant ad campaign, but competitors have caught up a lot. He owns a little only. It doesn't trade in big volumes though. He'd still buy it. They have good locations in places like airports. Pays a good dividend. A long-term investment. Also, A&W is conscious of ESG and has made green initiatives to attract younger customers and investors.
PARTIAL SELL
PARTIAL SELL
December 31, 2019
Used to own it until the valuation got too high. They've done a great job spinning out the real estate into a royalty stream. But this has gone parabolic this year as its growth has slowed. Take some profits. There's limited growth, but they are benefiting from declining interest rates. This doesn't make the top of his list of income streams. Pays a good dividend. Don't need to sell this, but don't need to buy it either.
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Used to own it until the valuation got too high. They've done a great job spinning out the real estate into a royalty stream. But this has gone parabolic this year as its growth has slowed. Take some profits. There's limited growth, but they are benefiting from declining interest rates. This doesn't make the top of his list of income streams. Pays a good dividend. Don't need to sell this, but don't need to buy it either.
BUY
BUY
December 9, 2019
Fine managers who've generated good same-store sales in a tough environment. The dividend is safe and will grow. It's too small and illiquid for him, but he really likes this.
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Fine managers who've generated good same-store sales in a tough environment. The dividend is safe and will grow. It's too small and illiquid for him, but he really likes this.
TOP PICK
TOP PICK
December 4, 2019
It pays out 3% of revenues from the 900 A&W locations in Canada. Same-stores have grown 6.9%. The royalty rate doubled in recent years. This became parabolic, then consolidated this year. Momentum indicators point higher. Dec. 6-March 10 is seasonality. Fundamentals and technicals are good. (Analysts’ price target is $45.00)
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It pays out 3% of revenues from the 900 A&W locations in Canada. Same-stores have grown 6.9%. The royalty rate doubled in recent years. This became parabolic, then consolidated this year. Momentum indicators point higher. Dec. 6-March 10 is seasonality. Fundamentals and technicals are good. (Analysts’ price target is $45.00)
DON'T BUY
DON'T BUY
November 22, 2019
Since 2017 he sees a rounded cup and saucer that appears to be breaking down -- a chart failure. This is usually a very bearish signal. He sees some consolidation around $36. But if it breaks down, it could retest $30 soon. He would stay away right now.
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Since 2017 he sees a rounded cup and saucer that appears to be breaking down -- a chart failure. This is usually a very bearish signal. He sees some consolidation around $36. But if it breaks down, it could retest $30 soon. He would stay away right now.
BUY
BUY
November 12, 2019
Likes it. It's hit some resistance with analyst downgrades. A solid company with leadership in advertising, namely Beyond Meat. They can grow with their franchise structure. Brilliant to open at Toronto's airport next to Starbucks. He sees growth in market share. Also, boomers stay loyal to their brands as they age.
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Likes it. It's hit some resistance with analyst downgrades. A solid company with leadership in advertising, namely Beyond Meat. They can grow with their franchise structure. Brilliant to open at Toronto's airport next to Starbucks. He sees growth in market share. Also, boomers stay loyal to their brands as they age.
PAST TOP PICK
PAST TOP PICK
November 7, 2019
(A Top Pick Nov 18/18, Up 15%) Root beer and high end fries. Up 15%. They position themselves as a healthy high end fast food vendor. They were first to do the beyond-meat burger. They did a good job of talking the talk and not just walking the walk. Double digits for almost a year and a half, which is impressive. You can just harvest the 5% yield.
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(A Top Pick Nov 18/18, Up 15%) Root beer and high end fries. Up 15%. They position themselves as a healthy high end fast food vendor. They were first to do the beyond-meat burger. They did a good job of talking the talk and not just walking the walk. Double digits for almost a year and a half, which is impressive. You can just harvest the 5% yield.
BUY
BUY
October 1, 2019
The chart has improved a lot after a head-and-shoulders pattern in 2017-18. It's had a strong 2019. There may be weakness between $36-38, but the long-term is poised to move up.
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The chart has improved a lot after a head-and-shoulders pattern in 2017-18. It's had a strong 2019. There may be weakness between $36-38, but the long-term is poised to move up.
BUY
BUY
September 19, 2019

Nothing wrong with this. Beyond Meat has done phenomenally well for them; they were the first to introduce its. A very well-run company.

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Nothing wrong with this. Beyond Meat has done phenomenally well for them; they were the first to introduce its. A very well-run company.

PARTIAL SELL
PARTIAL SELL
August 28, 2019

He considered buying it recently. The Beyond Meat run-up was overdone. They've had great same-store sales growth recently (due to their Beyond Meat deal). Expect low-single digit sales in the near future, but it won't hit $50 unless someone buys them. It's a safe franchise that has executed extremely well in the last 5 years.

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He considered buying it recently. The Beyond Meat run-up was overdone. They've had great same-store sales growth recently (due to their Beyond Meat deal). Expect low-single digit sales in the near future, but it won't hit $50 unless someone buys them. It's a safe franchise that has executed extremely well in the last 5 years.

COMMENT
COMMENT
June 27, 2019
Great story. Have gone healthier. Bit of a slowdown in same store sales, because of the meat alternative introduction.
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Great story. Have gone healthier. Bit of a slowdown in same store sales, because of the meat alternative introduction.
Showing 1 to 15 of 76 entries

A&W Revenue Royalties Income Fund(AW.UN-T) Rating

Ranking : 4 out of 5

Bullish - Buy Signals / Votes : 9

Neutral - Hold Signals / Votes : 0

Bearish - Sell Signals / Votes : 3

Total Signals / Votes : 12

Stockchase rating for A&W Revenue Royalties Income Fund is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

A&W Revenue Royalties Income Fund(AW.UN-T) Frequently Asked Questions

What is A&W Revenue Royalties Income Fund stock symbol?

A&W Revenue Royalties Income Fund is a Canadian stock, trading under the symbol AW.UN-T on the Toronto Stock Exchange (AW-UN-CT). It is usually referred to as TSX:AW.UN or AW.UN-T

Is A&W Revenue Royalties Income Fund a buy or a sell?

In the last year, 12 stock analysts published opinions about AW.UN-T. 9 analysts recommended to BUY the stock. 3 analysts recommended to SELL the stock. The latest stock analyst recommendation is DON'T BUY. Read the latest stock experts' ratings for A&W Revenue Royalties Income Fund.

Is A&W Revenue Royalties Income Fund a good investment or a top pick?

A&W Revenue Royalties Income Fund was recommended as a Top Pick by Jason Mann on 2020-06-04. Read the latest stock experts ratings for A&W Revenue Royalties Income Fund.

Why is A&W Revenue Royalties Income Fund stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is A&W Revenue Royalties Income Fund worth watching?

12 stock analysts on Stockchase covered A&W Revenue Royalties Income Fund In the last year. It is a trending stock that is worth watching.

What is A&W Revenue Royalties Income Fund stock price?

On 2020-09-26, A&W Revenue Royalties Income Fund (AW.UN-T) stock closed at a price of $27.64.