PIZZA PIZZA ROYALTY CORP (PZA.CA) Stock Fundamental Analysis
TSX:PZA - CA72585V1031 - Common Stock
16 CAD
-0.28 (-1.72%)
PZA gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 19 industry peers in the Hotels, Restaurants & Leisure industry. PZA has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. PZA is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year PZA was profitable.
In the past year PZA had a positive cash flow from operations.
PZA had positive earnings in each of the past 5 years.
PZA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PZA has a better Return On Assets (8.23%) than 84.21% of its industry peers.
PZA has a Return On Equity of 10.30%. This is in the better half of the industry: PZA outperforms 73.68% of its industry peers.
PZA has a Return On Invested Capital of 8.50%. This is amongst the best in the industry. PZA outperforms 89.47% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PZA is above the industry average of 6.35%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.23% | ||
| ROE | 10.3% | ||
| ROIC | 8.5% |
ROA(3y)8.05%
ROA(5y)7.5%
ROE(3y)10.12%
ROE(5y)9.41%
ROIC(3y)8.8%
ROIC(5y)8.08%
1.3 Margins
PZA's Profit Margin of 77.31% is amongst the best of the industry. PZA outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of PZA has remained more or less at the same level.
PZA has a better Operating Margin (97.94%) than 100.00% of its industry peers.
PZA's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 97.94% | ||
| PM (TTM) | 77.31% | ||
| GM | N/A |
OM growth 3Y-0.02%
OM growth 5Y-0.08%
PM growth 3Y1.25%
PM growth 5Y0.48%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
PZA has more shares outstanding than it did 1 year ago.
PZA has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, PZA has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.49 indicates that PZA is not in any danger for bankruptcy at the moment.
PZA has a better Altman-Z score (3.49) than 89.47% of its industry peers.
PZA has a debt to FCF ratio of 1.45. This is a very positive value and a sign of high solvency as it would only need 1.45 years to pay back of all of its debts.
PZA has a Debt to FCF ratio of 1.45. This is amongst the best in the industry. PZA outperforms 89.47% of its industry peers.
PZA has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
PZA's Debt to Equity ratio of 0.15 is fine compared to the rest of the industry. PZA outperforms 78.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 1.45 | ||
| Altman-Z | 3.49 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 2.16 indicates that PZA has no problem at all paying its short term obligations.
The Current ratio of PZA (2.16) is better than 94.74% of its industry peers.
PZA has a Quick Ratio of 2.16. This indicates that PZA is financially healthy and has no problem in meeting its short term obligations.
PZA has a better Quick ratio (2.16) than 94.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 2.16 |
3. Growth
3.1 Past
PZA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.45%.
PZA shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.06% yearly.
Looking at the last year, PZA shows a decrease in Revenue. The Revenue has decreased by -0.26% in the last year.
The Revenue has been growing slightly by 2.06% on average over the past years.
EPS 1Y (TTM)-2.45%
EPS 3Y7.33%
EPS 5Y2.06%
EPS Q2Q%0.84%
Revenue 1Y (TTM)-0.26%
Revenue growth 3Y7.64%
Revenue growth 5Y2.06%
Sales Q2Q%-93.34%
3.2 Future
PZA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.33% yearly.
The Revenue is expected to grow by 3.12% on average over the next years.
EPS Next Y1.85%
EPS Next 2Y1.97%
EPS Next 3Y2.33%
EPS Next 5YN/A
Revenue Next Year2.42%
Revenue Next 2Y3.01%
Revenue Next 3Y3.12%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
PZA is valuated correctly with a Price/Earnings ratio of 16.84.
Compared to the rest of the industry, the Price/Earnings ratio of PZA indicates a somewhat cheap valuation: PZA is cheaper than 63.16% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of PZA to the average of the S&P500 Index (27.08), we can say PZA is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 16.16, the valuation of PZA can be described as correct.
PZA's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. PZA is cheaper than 68.42% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of PZA to the average of the S&P500 Index (22.72), we can say PZA is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.84 | ||
| Fwd PE | 16.16 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PZA indicates a somewhat cheap valuation: PZA is cheaper than 73.68% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.2 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PZA does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of PZA may justify a higher PE ratio.
PEG (NY)9.11
PEG (5Y)8.19
EPS Next 2Y1.97%
EPS Next 3Y2.33%
5. Dividend
5.1 Amount
PZA has a Yearly Dividend Yield of 5.71%, which is a nice return.
Compared to an average industry Dividend Yield of 4.15, PZA pays a better dividend. On top of this PZA pays more dividend than 89.47% of the companies listed in the same industry.
PZA's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.71% |
5.2 History
The dividend of PZA has a limited annual growth rate of 2.57%.
PZA has been paying a dividend for at least 10 years, so it has a reliable track record.
PZA has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.57%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
PZA pays out 107.50% of its income as dividend. This is not a sustainable payout ratio.
PZA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP107.5%
EPS Next 2Y1.97%
EPS Next 3Y2.33%
TSX:PZA (8/29/2025, 7:00:00 PM)
16
-0.28 (-1.72%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners15.63%
Inst Owner ChangeN/A
Ins Owners0.22%
Ins Owner ChangeN/A
Market Cap393.92M
Analysts45.71
Price Target17.34 (8.38%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.71% |
Yearly Dividend1.03
Dividend Growth(5Y)2.57%
DP107.5%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.99%
Min EPS beat(2)-0.99%
Max EPS beat(2)-0.99%
EPS beat(4)0
Avg EPS beat(4)-2.57%
Min EPS beat(4)-5.35%
Max EPS beat(4)-0.99%
EPS beat(8)2
Avg EPS beat(8)-1.39%
EPS beat(12)5
Avg EPS beat(12)0.15%
EPS beat(16)7
Avg EPS beat(16)0.98%
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)21.43%
PT rev (3m)21.43%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-2.04%
EPS NY rev (3m)-2.04%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.84 | ||
| Fwd PE | 16.16 | ||
| P/S | 9.76 | ||
| P/FCF | 12.2 | ||
| P/OCF | 12.2 | ||
| P/B | 1.3 | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)0.95
EY5.94%
EPS(NY)0.99
Fwd EY6.19%
FCF(TTM)1.31
FCFY8.2%
OCF(TTM)1.31
OCFY8.2%
SpS1.64
BVpS12.31
TBVpS-2.73
PEG (NY)9.11
PEG (5Y)8.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.23% | ||
| ROE | 10.3% | ||
| ROCE | 10.54% | ||
| ROIC | 8.5% | ||
| ROICexc | 8.61% | ||
| ROICexgc | N/A | ||
| OM | 97.94% | ||
| PM (TTM) | 77.31% | ||
| GM | N/A | ||
| FCFM | 80% |
ROA(3y)8.05%
ROA(5y)7.5%
ROE(3y)10.12%
ROE(5y)9.41%
ROIC(3y)8.8%
ROIC(5y)8.08%
ROICexc(3y)8.99%
ROICexc(5y)8.24%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)10.92%
ROCE(5y)10.03%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y11.61%
ROICexc growth 5Y4.14%
OM growth 3Y-0.02%
OM growth 5Y-0.08%
PM growth 3Y1.25%
PM growth 5Y0.48%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 1.45 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 29.93 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 103.48% | ||
| Current Ratio | 2.16 | ||
| Quick Ratio | 2.16 | ||
| Altman-Z | 3.49 |
F-Score4
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)101.95%
Profit Quality(5y)102.46%
High Growth Momentum
Growth
EPS 1Y (TTM)-2.45%
EPS 3Y7.33%
EPS 5Y2.06%
EPS Q2Q%0.84%
EPS Next Y1.85%
EPS Next 2Y1.97%
EPS Next 3Y2.33%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.26%
Revenue growth 3Y7.64%
Revenue growth 5Y2.06%
Sales Q2Q%-93.34%
Revenue Next Year2.42%
Revenue Next 2Y3.01%
Revenue Next 3Y3.12%
Revenue Next 5YN/A
EBIT growth 1Y-0.67%
EBIT growth 3Y7.62%
EBIT growth 5Y1.97%
EBIT Next Year3.43%
EBIT Next 3Y3.38%
EBIT Next 5YN/A
FCF growth 1Y7.96%
FCF growth 3Y7.55%
FCF growth 5Y1.7%
OCF growth 1Y7.96%
OCF growth 3Y7.55%
OCF growth 5Y1.7%