Saturday, May 30, 2015

Recent Purchase

I was looking to put some cash to work in my margin account. I put in a limit order to purchase Restaurant Brands International, ticker symbol QSR,on the Toronto Stock Exchange. I recently owned this stock and recently sold this position, which you can read about here.
Why purchase it again after just recently selling it? Well Restaurant Brands International consists of Tim Hortons and Burger King. Tim Hortons is the dominant coffee shop in Canada and people gravitate towards it as the coffee is cheaper than their competitors. With the price of the coffee cheaper, it also is not as good tasting as their main competitors McDonald's and Starbucks. I have owned Tim Hortons in the past before they were bought by Burger King. I made a large capital gain on my investment. Every time I go to a Tim Horton's there are usually lineups.

The stock was trading in between $49.00 and slightly over $50.00 a share recently.  I decided to place a limit order of $48.00 per share initially. Over a span of a few days, I moved the limit up to $48.50 a share.

On 26 May 2015, I purchased 50 shares at $48.50 for a total cost of  $2430.12 including commissions. This purchase price is $0.35 lower than my previous entry price.

The annual dividend appears to be $0.40 a share, as the company recently declared a quarterly dividend of $0.10 per share  to be paid on July 3. This recent purchase adds $20.00 to my annual dividend income.

Today, I ate at both Burger King and Tim Hortons, so I contributed to the revenue of the company two times.  I will continue to follow QSR closely, as the company still has a lot of debt on its balance sheet.

Disclosure: Long QSR 

I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should NOT be taken as investment or business advice.

Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk.

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