Wells Fargo analysts changed their rating for Yum! Brands (NYSE:YUM) from Overweight to Equal Weight, adjusting the price target from $150.00 down to $135.00.
The analysts explained that the rationale for the downgrade is based on the assessment that the optimistic outlook for 2023, which was based on accelerating comparable sales, unit growth, and improving margins, has mostly materialized. Looking ahead to 2024, they anticipate challenges due to a comparatively high benchmark set by the previous year's performance, recent indicators of slowing momentum, and a less promising set of catalysts for 2024.
Despite acknowledging Yum! Brands' strong long-term growth drivers, the analysts foresee a potential slowdown in customer traffic, a moderation in pricing gains, and less likelihood of outperforming the company's 8% profit algorithm in 2024. Their earnings per share estimate for 2024 is slightly below the consensus, partly due to Yum! Brands' decision to halt share buybacks as it focuses on debt repayment.
Symbol | Price | %chg |
---|---|---|
MCD.BA | 17850 | 0.78 |
FORE.JK | 515 | 0.97 |
MAPB.JK | 1580 | -2.22 |
FAST.JK | 795 | 8.81 |
YUM! Brands, Inc. (NYSE:YUM) is a global leader in the restaurant industry, operating well-known brands such as KFC, Pizza Hut, and Taco Bell. The company is headquartered in Louisville, Kentucky, and is recognized for its strategic financial maneuvers to support growth and optimize its financial structure. YUM competes with other major players in the fast-food sector, including McDonald's and Domino's Pizza.
On September 15, 2025, Gibbs David W, the CEO and director of YUM, sold 1,976 shares of the company's common stock at $149.80 per share. This transaction, classified as an S-Sale, leaves him with approximately 102,893 shares. The sale comes at a time when YUM's stock price is $149.29, reflecting a slight decrease of 0.13% or $0.20.
In a significant financial move, YUM! Brands has announced the pricing of $1.5 billion in securitized notes. This step is likely aimed at raising capital for strategic initiatives or refinancing existing debt, as highlighted by Business Wire. The issuance reflects YUM's ongoing efforts to optimize its financial structure and support its growth objectives.
YUM's intention to refinance certain notes under its existing securitization financing facility is a strategic move to potentially reduce interest expenses. This reflects the company's commitment to managing its financial obligations effectively. The announcement underscores YUM's proactive approach to maintaining a robust financial position.
The company's market capitalization is approximately $41.43 billion, with today's trading volume on the NYSE at 563,372 shares. YUM's stock has traded between $148.92 and $150.15 today, with a 52-week high of $163.30 and a low of $122.13. These figures indicate the stock's performance and investor interest in the company.
YUM! Brands, listed on the NYSE:YUM, is the parent company of well-known fast-food chains like Taco Bell, KFC, Pizza Hut, and Habit Burger & Grill. The company is set to release its second-quarter earnings on August 5, 2025. Analysts expect earnings per share (EPS) of $1.45 and revenue of approximately $1.94 billion. This represents a 7.4% increase in EPS and a 9.5% rise in revenue compared to the previous year.
In the past, YUM has shown a strong tendency to exceed earnings expectations. Historically, the stock has risen 63% of the time following earnings announcements, with a median increase of 1.9% in one day. The highest observed growth reached 10%. In the first quarter, YUM experienced strong earnings growth, particularly driven by Taco Bell and KFC, despite a slight revenue miss.
YUM's profitability remains solid, with digital sales continuing to expand. The company has been focusing on menu innovations, loyalty campaigns, and new beverage concepts, which have contributed to increased customer traffic and higher average checks. Despite concerns about U.S. demand and weaknesses in Pizza Hut, YUM's long-term growth objectives remain unchanged.
Financially, YUM has a price-to-earnings (P/E) ratio of approximately 28.88, indicating the price investors are willing to pay for each dollar of earnings. The company's price-to-sales ratio stands at about 5.28, reflecting the value placed on each dollar of sales. YUM's enterprise value to sales ratio is around 6.67, showing the company's total value compared to its sales.
YUM's enterprise value to operating cash flow ratio is approximately 29.83, highlighting the company's valuation in relation to its cash flow from operations. The earnings yield is about 3.46%, representing the return on investment for shareholders. Despite a negative debt-to-equity ratio of approximately -1.46, YUM maintains a current ratio of around 1.40, suggesting its ability to cover short-term liabilities with short-term assets.
Yum Brands, Inc. (NYSE:YUM), a global fast-food company known for its popular brands like KFC, Pizza Hut, and Taco Bell, recently saw its director and CEO, Gibbs David W, sell 1,957 shares of the company's common stock at $146.60 each. After this transaction, he retains approximately 102,893 shares. This sale is documented in the SEC filing.
YUM is recognized as a strong momentum stock, as highlighted by Zacks Investment Research. The Zacks Style Scores evaluate stocks based on value, growth, and momentum, helping investors identify potential outperformers. YUM's strong momentum suggests it may continue to perform well in the short term, making it an attractive option for investors seeking growth.
YUM's financial metrics provide insight into its market position. The company has a price-to-earnings (P/E) ratio of 28.66, indicating investor willingness to pay $28.66 for every dollar of earnings. Its price-to-sales ratio is 5.24, reflecting the value placed on each dollar of sales. These ratios suggest a strong market valuation.
The enterprise value to sales ratio of 6.63 and enterprise value to operating cash flow ratio of 29.65 highlight YUM's valuation relative to its sales and cash flow. An earnings yield of 3.49% shows the percentage of each dollar invested that was earned by the company. These figures indicate a solid financial standing.
YUM's debt-to-equity ratio of -1.46 suggests more liabilities than equity, which could be a concern for some investors. However, a current ratio of 1.40 indicates the company's ability to cover short-term liabilities with short-term assets, providing some reassurance about its financial health.
On July 1, 2025, Mezvinsky Scott, CEO of the KFC Division at Yum! Brands (NYSE:YUM), sold 272 shares of the company's common stock at $148.28 each. After this transaction, Scott retains 1,755 shares. Yum! Brands, known for its asset-light franchisor model, operates popular fast-food chains like KFC, Pizza Hut, and Taco Bell.
Yum! Brands faces scrutiny due to its high valuation and modest growth prospects. The company's net debt is 7.55 times its free cash flow, which is concerning. This high debt level, combined with a low-interest coverage ratio, poses risks if business performance declines or interest rates rise.
Yum! Brands is valued at nearly 30 times its free cash flow, with a dividend yield of 1.91%. This high valuation leaves little room for error or economic downturns. The company's price-to-earnings (P/E) ratio is 29.56, indicating investor willingness to pay a premium for its earnings.
The price-to-sales ratio of Yum! Brands is 5.40, reflecting the value placed on each dollar of sales. The enterprise value to sales ratio is 6.79, showing the company's total valuation relative to its sales. The enterprise value to operating cash flow ratio is 30.39, highlighting the relationship between valuation and cash flow from operations.
Yum! Brands has a debt-to-equity ratio of -1.46, indicating a higher level of debt compared to equity. The current ratio is 1.40, suggesting the company's ability to cover short-term liabilities with short-term assets. The earnings yield is 3.38%, providing insight into the return on investment for shareholders.
Yum! Brands Inc (NYSE:YUM) is a global fast-food giant, known for its popular chains like KFC, Taco Bell, and Pizza Hut. The company operates in the competitive fast-food industry, where it competes with other major players like McDonald's and Burger King. Recently, Mezvinsky Scott, CEO of the KFC Division, sold 268 shares of YUM at $145.97 each, retaining 1,755 shares.
YUM's stock is currently trading at $145.07, reflecting a 0.8% increase. The stock has gained 8.7% year-to-date, showing strong performance despite facing resistance at the 20-day moving average. This resistance has limited today's gains, but the stock is nearing a historically bullish trendline, which could help close the bear gap from April 4, when the stock dropped by 8.4%.
According to Schaeffer's Senior Quantitative Analyst, Rocky White, YUM is within one standard deviation of its 126-day moving average, a level it has maintained for 80% of the last two months. This suggests a strong potential for a bullish movement, as the stock has been above this trendline in at least eight of the last ten trading days. This positive outlook is further supported by Goldman Sachs upgrading YUM's rating from "Neutral" to "Buy."
YUM's financial metrics provide insight into its market valuation. The company has a price-to-earnings (P/E) ratio of 28.41, indicating how much investors are willing to pay per dollar of earnings. Its price-to-sales ratio is 5.19, reflecting the value placed on each dollar of sales. The enterprise value to sales ratio is 6.58, showing the company's total valuation compared to its sales.
The enterprise value to operating cash flow ratio is 29.44, highlighting the relationship between YUM's valuation and its cash flow from operations. The earnings yield is 3.52%, indicating the percentage of each dollar invested that was earned by the company. The debt-to-equity ratio is -1.46, suggesting a higher level of debt compared to equity. Lastly, the current ratio is 1.40, indicating YUM's ability to cover short-term liabilities with short-term assets.
Yum Brands, listed on the NYSE:YUM, is the parent company of well-known fast-food chains like KFC, Taco Bell, and Pizza Hut. The company is set to release its quarterly earnings on April 30, 2025. Analysts expect earnings per share (EPS) to be $1.29, with projected revenue of approximately $1.85 billion for the quarter.
The anticipated EPS of $1.29 represents a 12.2% increase from the same period last year, as highlighted by analysts. This growth is driven by a projected revenue of $1.85 billion, marking a 15% year-over-year increase. Over the past month, the consensus EPS estimate has been slightly revised upwards by 0.1%, indicating a positive outlook from analysts.
Yum Brands' financial metrics provide insight into its market valuation. The company has a price-to-earnings (P/E) ratio of 28.04, showing the price investors are willing to pay for each dollar of earnings. Its price-to-sales ratio is 5.45, reflecting the value placed on each dollar of sales. The enterprise value to sales ratio stands at 7.00, indicating how the market values the company's total sales.
The company's financial health is further illustrated by its enterprise value to operating cash flow ratio of 31.18, which shows the relationship between enterprise value and operating cash flow. Yum Brands has an earnings yield of 3.57%, indicating the percentage of each dollar invested that was earned by the company. The debt-to-equity ratio is -1.61, highlighting the company's capital structure.
Yum Brands' current ratio of 1.47 suggests its ability to cover short-term liabilities with short-term assets. The upcoming earnings report is crucial, as it could significantly impact YUM's stock price. If results exceed expectations, the stock may rise, while a miss could lead to a decline. The sustainability of price changes will depend on management's discussion during the earnings call.
Yum Brands, listed on the NYSE:YUM, is the parent company of well-known fast-food chains like KFC, Taco Bell, and Pizza Hut. The company is set to release its quarterly earnings on April 30, 2025. Analysts expect earnings per share (EPS) to be $1.29, with projected revenue of approximately $1.85 billion for the quarter.
The anticipated EPS of $1.29 represents a 12.2% increase from the same period last year, as highlighted by analysts. This growth is driven by a projected revenue of $1.85 billion, marking a 15% year-over-year increase. Over the past month, the consensus EPS estimate has been slightly revised upwards by 0.1%, indicating a positive outlook from analysts.
Yum Brands' financial metrics provide insight into its market valuation. The company has a price-to-earnings (P/E) ratio of 28.04, showing the price investors are willing to pay for each dollar of earnings. Its price-to-sales ratio is 5.45, reflecting the value placed on each dollar of sales. The enterprise value to sales ratio stands at 7.00, indicating how the market values the company's total sales.
The company's financial health is further illustrated by its enterprise value to operating cash flow ratio of 31.18, which shows the relationship between enterprise value and operating cash flow. Yum Brands has an earnings yield of 3.57%, indicating the percentage of each dollar invested that was earned by the company. The debt-to-equity ratio is -1.61, highlighting the company's capital structure.
Yum Brands' current ratio of 1.47 suggests its ability to cover short-term liabilities with short-term assets. The upcoming earnings report is crucial, as it could significantly impact YUM's stock price. If results exceed expectations, the stock may rise, while a miss could lead to a decline. The sustainability of price changes will depend on management's discussion during the earnings call.