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SIR Royalty Incm Un (TSE:SRV.UN)
TSX:SRV.UN
Canadian Market
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SIR Royalty Income (SRV.UN) AI Stock Analysis

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TSE:SRV.UN

SIR Royalty Income

(TSX:SRV.UN)

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Outperform 75 (OpenAI - Gpt-5.6Sol)
Rating:75Outperform
Price Target:
C$16.00
▲(1.33% Upside)
Action:Reiterated
Date:08/18/26
The score is driven primarily by strong financial resilience (minimal leverage) and solid cash generation, offset by uneven revenue history and unusual margin volatility that clouds earnings consistency. Technicals are supportive with an established uptrend, though momentum is near overbought. Valuation is balanced, with a reasonable P/E and a high dividend yield providing support.
Positive Factors
Minimal leverage
Essentially no debt gives the trust financial flexibility and reduces interest and refinancing pressure. That conservative structure can help preserve distributions, absorb weaker restaurant conditions, and support stable capital allocation over the next several quarters.
Negative Factors
Choppy revenue history
The uneven multi-year revenue path makes it harder to establish a dependable growth trajectory. Although recent TTM growth is strong, prior declines suggest results remain sensitive to restaurant sales and may not compound consistently across future reporting periods.
Read all positive and negative factors
Positive Factors
Negative Factors
Minimal leverage
Essentially no debt gives the trust financial flexibility and reduces interest and refinancing pressure. That conservative structure can help preserve distributions, absorb weaker restaurant conditions, and support stable capital allocation over the next several quarters.
Read all positive factors

SIR Royalty Income (SRV.UN) vs. iShares MSCI Canada ETF (EWC)

SIR Royalty Income Business Overview & Revenue Model

Company Description
The SIR Royalty Income Fund, operating through its SIR Royalty Limited Partnership, possesses and oversees a collection of service-focused eateries throughout Canada. Its diverse portfolio encompasses popular concept restaurant chains like Jack As...
How the Company Makes Money
The fund makes money primarily by earning royalties calculated as a percentage of “Royalty Pool Sales” generated by the restaurants included in the SIR royalty pool. Under the SIR Royalty Pooling Agreement, Recipe Unlimited (as the operator) remit...

SIR Royalty Income Financial Statement Overview

Summary
Strong balance sheet with essentially no debt and solid equity base supports flexibility (Balance Sheet score 88). Cash generation is solid with strong cash conversion, though recent FCF growth has softened (Cash Flow score 70). Income statement shows high reported profitability and strong TTM growth, but choppy multi-year revenue and atypical/volatile margins reduce confidence in earnings consistency (Income Statement score 64).
Income Statement
64
Positive
Balance Sheet
88
Very Positive
Cash Flow
70
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue12.91M11.10M10.66M23.32M40.95M4.12M
Gross Profit12.67M11.10M16.16M23.32M48.95M7.12M
EBITDA8.90M12.09M4.90M11.66M48.33M6.56M
Net Income8.15M8.47M12.03M19.11M44.41M4.91M
Balance Sheet
Total Assets91.27M91.56M94.26M90.96M83.22M49.48M
Cash, Cash Equivalents and Short-Term Investments730.95K320.61K1.04M412.18K2.28M1.41M
Total Debt0.000.000.0042.47K63.48K42.26K
Total Liabilities5.96M5.23M6.30M5.47M6.95M6.90M
Stockholders Equity85.31M86.34M87.96M85.48M76.27M42.59M
Cash Flow
Free Cash Flow10.25M9.37M10.18M8.04M11.58M6.30M
Operating Cash Flow10.25M9.37M10.18M8.04M11.58M6.30M
Investing Cash Flow0.000.000.000.000.000.00
Financing Cash Flow-10.60M-10.09M-9.55M-9.90M-10.72M-5.03M

SIR Royalty Income Technical Analysis

Technical Analysis Sentiment
Negative
Last Price15.79
Price Trends
50DMA
15.53
Negative
100DMA
15.41
Negative
200DMA
15.02
Negative
Market Momentum
MACD
-0.42
Positive
RSI
35.27
Neutral
STOCH
17.73
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SRV.UN, the sentiment is Negative. The current price of 15.79 is above the 20-day moving average (MA) of 14.76, above the 50-day MA of 15.53, and above the 200-day MA of 15.02, indicating a bearish trend. The MACD of -0.42 indicates Positive momentum. The RSI at 35.27 is Neutral, neither overbought nor oversold. The STOCH value of 17.73 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:SRV.UN.

SIR Royalty Income Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
C$120.02M14.779.50%8.93%6.11%-22.46%
73
Outperform
C$47.53B17.4734.86%3.45%5.56%38.79%
67
Neutral
C$361.71M11.7610.09%8.26%-0.69%-2.98%
66
Neutral
C$867.69M15.8824.98%5.30%-1.57%218.18%
65
Neutral
C$733.89M6.5313.22%4.48%-1.60%194.60%
64
Neutral
C$413.87M10.4613.49%8.09%3.49%8.13%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:SRV.UN
SIR Royalty Income
14.33
0.71
5.20%
TSE:PZA
Pizza Pizza Royalty
10.70
-3.92
-26.79%
TSE:BPF.UN
Boston Pizza Fund
19.45
-0.06
-0.30%
TSE:QSP.UN
Restaurant BrndLP
103.46
14.38
16.15%
TSE:MTY
MTY Food Group
32.13
-5.48
-14.57%
TSE:AW
A & W Food Services of Canada Inc.
36.20
0.41
1.13%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 18, 2026