Pizza Pizza RoyaltyPZRIF 60 ROE % is 2.14% as of Mar. 2026, which is 78% below its 10-year median of 9.64. GuruFocus rates PZRIF with a GF Score™ of 60/100 and a GF Value™ of $24.14 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 346 Restaurants companies, Pizza Pizza Royalty ranks better than 63.29% on this metric.
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
Pizza Pizza Royalty ROE % Related Terms
Pizza Pizza Royalty ROE % Historical Data
* Premium members only.
The historical data trend for Pizza Pizza Royalty's ROE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Restaurants subindustry, Pizza Pizza Royalty's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Pizza Pizza Royalty ROE % vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Pizza Pizza Royalty's ROE % distribution charts can be found below:
* The bar in red indicates where Pizza Pizza Royalty's ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Pizza Pizza Royalty (PZRIF) has a ROE % of 2.14% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Pizza Pizza Royalty and its competitors. This is 78% below median its historical median of 9.64. Over the past decade, Pizza Pizza Royalty's ROE % has ranged from 8.27 to 10.73. According to the industry distribution chart, Pizza Pizza Royalty ranks #127 out of 346 companies in the Restaurants industry, placing it in the top 36.7%.
Is Pizza Pizza Royalty's ROE % too high?
Pizza Pizza Royalty's current ROE % of 2.14% is 78% below median its 10-year median of 9.64. Over the past 10 years, this metric has ranged from a low of 8.27 to a high of 10.73. The Restaurants industry median ROE % is 6.38. Pizza Pizza Royalty's value of 2.14% is 66.5% below this industry median. Based on the distribution chart, Pizza Pizza Royalty ranks #127 out of 346 companies in the Restaurants industry, which is above the industry midpoint. Overall, Pizza Pizza Royalty has a GF Score™ of 60/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Pizza Pizza Royalty's ROE % compare to MCD and SBUX?
According to the Restaurants industry distribution chart, Pizza Pizza Royalty ranks #127 out of 346 companies for ROE %. This puts Pizza Pizza Royalty in the upper half of its industry. The industry median ROE % is 6.38. Pizza Pizza Royalty's value of 2.14% is 66.5% below this benchmark. Historically, Pizza Pizza Royalty's own ROE % has ranged from 8.27 to 10.73 over the past decade. While the company's 10-year median is 9.64 vs. the industry median of 6.38, Pizza Pizza Royalty has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Restaurants company?
The median ROE % among Restaurants companies is 6.38, based on 346 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Pizza Pizza Royalty's current ROE % of 2.14% is 66.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Pizza Pizza Royalty and its competitors. For the Restaurants industry, the median ROE % is 6.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pizza Pizza Royalty's current ROE % is 2.14%, which is 78% below median its own 10-year median of 9.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pizza Pizza Royalty stock overvalued right now?
Based on GuruFocus' analysis, Pizza Pizza Royalty (PZRIF) is currently considered Possible Value Trap. The stock's GF Value™ is $24.14, compared to a current price of $9.19 — trading 62% below its estimated fair value. The current ROE % is 2.14%, which is 78% below median its 10-year median of 9.64 and 66.5% below the Restaurants industry median of 6.38. Pizza Pizza Royalty's overall GF Score™ is 60/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Pizza Pizza Royalty (PZRIF), the current ROE % is 2.14% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Pizza Pizza Royalty (PZRIF) Overvalued in 2026?
Based on GuruFocus' analysis, Pizza Pizza Royalty stock appears to be undervalued.
The current stock price of $9.19 is trading 62% below its estimated GF Value™ of $24.14.
GuruFocus considers Pizza Pizza Royalty to be Possible Value Trap.
Key valuation signals for PZRIF:
ROE %: 2.14% (78% below median its 10-year median of 9.64)
GF Value™: $24.14 vs. price of $9.19 (62% below fair value)
Industry Position: 66.5% below the Restaurants median (#127 of 346)
No single metric tells the full story. See the PZRIF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Pizza Pizza Royalty Corp through its subsidiary, Pizza Pizza Royalty Limited Partnership, owns and franchises quick-service restaurants under the Pizza Pizza and Pizza 73 brands. It receives the benefit of Pizza Pizza Royalty and Pizza 73 Royalty payable by PPL under the Pizza Pizza Licence and Royalty Agreement and the Pizza 73 Licence and Royalty Agreement, respectively, as well as royalty payments under the international agreement, indirectly through its interests in the partnership.
60GF Score
Get the complete analysis for PZRIF
ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
PZRIF has been successfully added to your 
