Markets were down somewhat on Wednesday as the S&P 500 was down 1.2% and Toronto ws down 0.3%.
The Boston Pizza Royalties units were up 8.4% to $9.76 and yielding 8.0%. The gain surprises me given the current virus situation but it may be that the market is looking past that to normal times returning. What we don’t know is how many locations will close and not reopen. Possibly it will be very few but that remains uncertain. BP will apparently make some specials distribution in December. But that will merely be to make up for about six months with no distribution. What matters is whether the current 6.5 cents per month distribution can be maintained and can it grow?
AutoCanada was down 2.0%. Looking at its Q3 results it has really vastly improved. It probably has a good future now. But given the past problems the market may be over reacting to the upside. Those with large positions might be prudent to trim some at this price.