MTY Food Group (TSE:MTY) Stock Price Down 7.9% After Earnings Miss

MTY Food Group Inc. (TSE:MTY)’s share price dropped 7.9% during trading on Friday following a dissappointing earnings announcement. The stock traded as low as C$45.97 and last traded at C$46.16. Approximately 68,395 shares changed hands during mid-day trading, an increase of 48% from the average daily volume of 46,274 shares. The stock had previously closed at C$50.14.

The company reported C$0.71 earnings per share for the quarter, missing analysts’ consensus estimates of C$0.83 by C($0.12). The business had revenue of C$278.64 million during the quarter, compared to analyst estimates of C$263.20 million. MTY Food Group had a net margin of 8.90% and a return on equity of 13.60%.

MTY Food Group Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, May 15th. Shareholders of record on Friday, May 3rd will be issued a dividend of $0.28 per share. This represents a $1.12 annualized dividend and a yield of 2.48%. The ex-dividend date is Thursday, May 2nd. MTY Food Group’s dividend payout ratio (DPR) is presently 24.24%.

Wall Street Analyst Weigh In

Several research analysts have commented on MTY shares. Raymond James lowered their price target on shares of MTY Food Group from C$65.00 to C$60.00 and set a “market perform” rating for the company in a report on Friday, February 16th. Royal Bank of Canada lowered their target price on shares of MTY Food Group from C$66.00 to C$48.00 and set a “sector perform” rating for the company in a report on Friday, February 16th. TD Securities lowered their target price on shares of MTY Food Group from C$65.00 to C$60.00 and set a “hold” rating for the company in a report on Friday, February 16th. CIBC lowered their target price on shares of MTY Food Group from C$71.00 to C$62.00 and set an “outperform” rating for the company in a report on Tuesday, February 20th. Finally, Scotiabank lowered their target price on shares of MTY Food Group from C$62.00 to C$55.00 and set a “sector perform” rating for the company in a report on Friday, February 16th. Four equities research analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat.com, MTY Food Group presently has an average rating of “Hold” and an average target price of C$59.86.

MTY Food Group Stock Performance

The company has a quick ratio of 0.57, a current ratio of 0.64 and a debt-to-equity ratio of 160.56. The company has a market capitalization of C$1.10 billion, a PE ratio of 10.63, a PEG ratio of 0.75 and a beta of 1.98. The stock’s fifty day simple moving average is C$51.92 and its 200-day simple moving average is C$53.30.

About MTY Food Group

MTY Food Group Inc operates and franchises quick-service, fast-casual, and casual dining restaurants in Canada, the United States, and internationally. It also sells retail products under a multitude of banners. The company was formerly known as iNsu Innovations Group Inc and changed its name to MTY Food Group Inc in July 2003.