Professional
Added to YB: 2026-07-24
Pitch date: 2026-07-22
MTY.TO [bullish]
MTY Food Group Inc.
+8.08%
current return
Author Info
Nugget Capital Partners is a research analyst specializing in resources w/ focus on energy. Sign up for the newsletter.
Company Info
MTY Food Group Inc., together with its subsidiaries, franchises and operates quick-service, fast-casual, and casual dining restaurants in Canada, the United States, and internationally.
Market Cap
CAD 818.9M
Pitch Price
CAD 32.45
Price Target
70.00 (+100%)
Dividend
4.13%
EV/EBITDA
7.02
P/E
7.29
EV/Sales
1.60
Sector
Hotels, Restaurants and Leisure
Category
special_situation
New position: MTY Food Group
MTY.TO (new position): Canadian franchisor of 90+ brands (Thai Express, TacoTime), 90% franchised, 60% US rev. Trades ~6.5x EBITDA (all-time low) vs peers 2x higher, 15-17% FCF yield, sub-2x net debt. Active strategic review/possible sale (TD SOTP $70 vs current $38 PT). Q2 EBITDA miss + closure of 68 money-losing stores (-$10M) already baked in. Buyback (~6% of cap 2024-25) paused during review = valuation backstop; 4.5% div. CEO Stanley Ma owns 13%. Took ~5% weight.
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