Pizza Pizza Royalty (PZA-T)

A royalty company. Low risk dividend overall. He likes it. Income names have been beaten up. Overtime it will come back.

He doesn’t know if this franchise matches all the other options are out there. A royalty play.

Income royalty names have suffered from interest rate hike fears. He prefers other royalty companies. He'd like to see more Pizza Pizza stores and same store growth. Pays a 9% dividend. Prefers A&W who are growing their footprint in
Canada. People will always want pizza though.

his stock is one you definitely don’t want to buy yet. It is making lower highs and lows and you have to wait for a base to form. Don’t catch a falling knife. Yield 7%

A royalty company which gets a 6% royalty from all the Pizza Pizza locations across Canada. A decent business model. The issue is same store sales for some locations, which were down about 1% because they increased prices. That resulted in a bit of a decline in traffic. Thinks the broader quick serve restaurants segment is going to be somewhat challenged.

Has done exceptionally well as a royalty and has outperformed the group. Valuation is fairly high for the growth they are getting. Doesn’t see any problem with taking some profits. He worries about the sector. These things are trading at 15X, which is a pretty rich multiple.

A royalty Pool. A wonderful business and really well run, and pizza never goes out of style. They have a very dominant position in the market. Feels that the dividend grinds higher year-over-year.