Can Burger King Break Higher?

With shares of Burger King (NYSE:BKW) trading around $27, is BKW an OUTPERFORM, WAIT AND SEE, or STAY AWAY? Let’s analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

T = Trends for a Stock’s Movement

Burger King, founded in 1954,operates and franchises fast-food hamburger restaurants, primarily under the Burger King brand worldwide. As of December 31, 2012, it operated 7,293 franchise restaurants and 183 company restaurants in the United States and Canada; 2,989 franchise restaurants and 132 company restaurants in Europe, the Middle East, and Africa; 1,290 franchise restaurants and 100 company restaurants in Latin America and the Caribbean; and 1,007 franchise restaurants and 3 company restaurants in the Asia Pacific.

Fast-food chain Burger King is making an effort to elevate its “Have It Your Way” slogan with an old favorite in a new packaging. The company announced Wednesday it would sell the Proud Whopper at a San Francisco location through July 3. It pledged all sales from the burger would be donated to the Burger King McLamore Foundation for scholarships benefiting lesbian, gay, bisexual, and transgender high school seniors graduating in spring 2015. The only restaurant offering the burger is located on Market Street, which is along the route of the city’s pride parade. “Guests who ordered the Proud Whopper sandwich were surprised because it is in fact, the same iconic fire-grilled Whopper sandwich beloved since 1957, but wrapped in rainbow-colored paper inscribed with a message reading: “We Are All The Same Inside,” the company wrote in a news release.

In addition, a digital film launched Wednesday on Burger King’s YouTube channel (WARNING: Some foul language use.) The filmmakers created it at the same San Francisco restaurant located along the city’s Pride Parade route. It captures the spirit of brand’s new tagline, “Be Your Way,” according to the release. “We are always looking to engage our guests on a local level and be part of regionally relevant events,” said Kelly Gomez, director of West Coast field marketing at Burger King West Division. “With one of our restaurants on the Pride Parade route, it was a natural fit to be involved and celebrate by giving something back to the community.” Fernando Machado, senior vice president of global brand management, credited the restaurants for being a place people could “let your guard down and just be yourself without any judgment.” “The film and Proud Whopper sandwich are the first of many different opportunities to bring the ‘Be Your Way’ global attitude to life in unexpected ways,” Machado said.