RESTAURANT BRANDS INT'L (DOG)
I guess the new grilled panini southwest crispy bacon ’n’ cheese pulled pork blueberry breakfast wrap – or whatever it is Tim Hortons is pushing this week – hasn’t lived up to expectations. With same-stores sales in the third quarter rising a lukewarm 2 per cent at Tims and just 1.7 per cent at Burger King – both down sharply from a year ago – investors have suddenly lost their appetite for Restaurant Brands’ shares.
QSR (TSX), $58.30 down $4.31 or 6.9% over week
DH CORP. (DOG)
“We remain very encouraged by our growth prospects,” DH’s CEO Gerrard Schmid said after the company released third-quarter results. Investors, on the other hand, remain acutely discouraged: Shares of the financial technology provider suffered their biggest one-day drop on record after earnings missed expectations, hit by an accelerating decline in DH’s cheque-printing business and by delayed IT purchases at big banks. Now we know what DH stands for: dented and hammered.
DH (TSX), $17.95 down $11.10 or 38.2% over week
WEST FRASER TIMBER (STAR)
If a tree company announces strong earnings, does anyone hear it? West Fraser Timber shareholders were certainly listening: Helped by a weak loonie and higher lumber prices in the U.S. market, the forest products company said adjusted earnings per share more than tripled to $1.45 in the third quarter. With West Fraser’s stock posting its biggest one-day gain in 16 years, there actually is money growing on these trees.
WFT (TSX), $46.39 up $6.71 or 16.9% over week
CHIPOTLE MEXICAN GRILL (DOG)
It’s been more than a year since a series of E. coli and norovirus outbreaks first surfaced at Chipotle, but the burrito chain’s shares are still feeling ill. As wary customers stay away despite Chipotle’s efforts to lure them back with coupons for free food, same-store sales plunged a worse-than-expected 21.9 per cent in the third quarter – the fourth consecutive double-digit decline. Well, at least you won’t have to wait in line.
CMG (NYSE), $370.08 (U.S.) down $41.86 or 10.2% over week
UNDER ARMOUR (DOG)
True or false: When a company has a high price-to-earnings multiple, investors are usually very forgiving about any signs of a slowdown in the business. Answer: false. Under Armour – which had sported a P/E of more than 50 – sank to the lowest in more than two years after the athletic apparel maker warned that annual earnings growth will slow to the mid-teens from an earlier projection of more than 20 per cent. Investors are sweating like they’ve just hit the gym.
UA (NYSE), $30.94 (U.S.) down $7 or 18.5% over week