Balanced View on Restaurant Brands International: Accounting-Driven Earnings Growth and Ongoing Execution Risks Support Hold Rating

TD Cowen analyst Andrew Charles has maintained their neutral stance on QSR stock, giving a Hold rating on February 3.

Andrew Charles’s rating is based on expectations that Restaurant Brands International can reach its algorithmic adjusted operating income growth target largely through accounting tailwinds, such as restoring Burger King China royalties and leaner corporate expenses, rather than broad-based, robust same-store sales gains. He also anticipates that 2026 system-wide same-store sales will again fall slightly short of the company’s 3% objective, which tempers his conviction in more aggressive upside.

At the same time, Charles acknowledges encouraging momentum at Burger King U.S., where recent performance has outpaced the broader quick-service burger segment, aided by promotional tie-ins and a disciplined value menu that protects margins. He is watching the February 26 investor day for clearer visibility into how the company can sustainably return to 5% net unit growth, and until that growth trajectory is better demonstrated, he believes a Hold rating appropriately balances the positives against the execution risks.

In another report released on February 3, Citi also maintained a Hold rating on the stock with a $72.00 price target.