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Bullboard - Stock Discussion Forum A and W Revenue Royalties Income Fund AWRRF


Primary Symbol: T.AW.UN

A&W Revenue Royalties Income Fund (the Fund) is a Canada-based company. The Fund is a limited purpose trust established to invest in A&W Trade Marks Inc. (Trade Marks), which through its interest in the A&W Trade Marks Limited Partnership (Partnership), owns the A&W trademarks used in the A&W quick service restaurant business in Canada. In return for licensing, A&W Food Services of Canada Inc. ... see more

TSX:AW.UN - Post Discussion

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Post by argon12 on Apr 01, 2020 7:10pm

Now the bad news

The value of the business in my calculation is only worth $5.00 a share.
Investors are being much too optimistic for a turnaround in this business.

I called the dividend cut, now I warn you that a worse drop
Is coming.
Many investors bought this on margin so they will have to cover or sell. 

imho

Comment by argon12 on Apr 02, 2020 3:30am
In fact, this could go below a $1.00. business for all restaurants have collapsed.  aw.un really has no assets. There is no book value. just a revenue stream which had now been reduced to zero because of the crisis. why would anyone want to still own. Howard Msrks who is a billionaire value distress investor  says we are heading into a 1929 depression. Lots of dominoes still ...more  
Comment by mydividends on Apr 02, 2020 7:38am
Have more than 90+% of A&W's restaurants all of a sudden disappeared from existance? No they haven't. Yes, approx. 200 restaurants have closed down, and those still operating have seen their demand signficantly reduced. But this has all been caused by a temporary event - 3-6 months by professional estimates - that will eventually subside. When things go back to normal, these ...more  
Comment by DivChain on Apr 02, 2020 9:49am
I agree its not the end of the world,yes mall locations are closed but drive-thru locations are doing ok & Im guessing business should pick up this summer. I can only speak of where I live but fastfood chains drive-thru locations have been busier than normal. That could change but the last time i checked people need to eat.
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