UPDATE: Citigroup Initiates Burger King Worldwide at Buy on Long-Term Growth Outlook

Citigroup initiated coverage on Burger King Worldwide

with a Buy rating and a $20 price target. Citigroup said, "3G Capital took the company private in late 2010 before becoming public again in mid 2012. Since taking over in late 2010, the new mgmt team has focused intensely on improving the brand image through several initiatives, including: restaurant remodels, more attractive menu items, approachable marketing, and improved operations. As a result, BKW is poised to grow SSS in the 3% range over the next 3 years, with about 3% unit growth and significant EBIT margin expansion given its goal to be nearly 100% franchised. We expect BKW to deliver roughly 18% LT EPS growth." Burger King Worldwide closed at $16.86 on Wednesday.