Yum! Brands, Inc. (NYSE:YUM – Get Free Report) has received an average recommendation of “Moderate Buy” from the twenty-one brokerages that are currently covering the firm, Marketbeat Ratings reports. Eight equities research analysts have rated the stock with a hold recommendation and thirteen have issued a buy recommendation on the company. The average 1-year price target among brokerages that have covered the stock in the last year is $172.56.
YUM has been the subject of several recent analyst reports. UBS Group reiterated a “buy” rating on shares of Yum! Brands in a research note on Thursday, June 18th. Evercore reissued an “outperform” rating on shares of Yum! Brands in a research report on Tuesday, June 16th. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and set a $174.00 price target on shares of Yum! Brands in a research report on Friday, July 31st. Guggenheim cut their price target on shares of Yum! Brands from $180.00 to $155.00 and set a “buy” rating on the stock in a report on Tuesday, October 6th. Finally, Citigroup upped their price objective on shares of Yum! Brands from $175.00 to $178.00 and gave the stock a “neutral” rating in a research report on Sunday, July 12th.
View Our Latest Report on Yum! Brands
Insiders Place Their Bets
Institutional Inflows and Outflows
Several hedge funds and other institutional investors have recently bought and sold shares of YUM. Steph & Co. raised its position in shares of Yum! Brands by 107.5% in the first quarter. Steph & Co. now owns 166 shares of the restaurant operator’s stock valued at $26,000 after purchasing an additional 86 shares during the period. Edmond DE Rothschild Holding S.A. purchased a new stake in shares of Yum! Brands during the 2nd quarter valued at approximately $27,000. MV Capital Management Inc. purchased a new stake in shares of Yum! Brands during the 4th quarter valued at approximately $28,000. Manning & Napier Advisors LLC bought a new position in Yum! Brands in the 1st quarter worth approximately $28,000. Finally, Kelleher Financial Advisors bought a new position in Yum! Brands in the 2nd quarter worth approximately $29,000. Hedge funds and other institutional investors own 82.37% of the company’s stock.
Yum! Brands Trading Up 1.5%
Shares of Yum! Brands stock opened at $146.93 on Friday. The stock has a fifty day simple moving average of $145.64 and a 200 day simple moving average of $151.77. Yum! Brands has a 12-month low of $134.26 and a 12-month high of $170.14. The company has a market capitalization of $40.10 billion, a P/E ratio of 18.48, a price-to-earnings-growth ratio of 2.31 and a beta of 0.55.
Yum! Brands (NYSE:YUM – Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The restaurant operator reported $1.62 earnings per share for the quarter, beating the consensus estimate of $1.58 by $0.04. The business had revenue of $2.17 billion for the quarter, compared to analysts’ expectations of $2.18 billion. Yum! Brands had a negative return on equity of 24.57% and a net margin of 25.42%. The business’s revenue was up 12.2% on a year-over-year basis. During the same period last year, the business earned $1.44 EPS. On average, analysts predict that Yum! Brands will post 6.46 EPS for the current year.
Yum! Brands declared that its board has approved a stock buyback program on Tuesday, June 16th that permits the company to buy back $4.00 billion in outstanding shares. This buyback authorization permits the restaurant operator to reacquire up to 9.4% of its stock through open market purchases. Share buyback programs are typically a sign that the company’s management believes its shares are undervalued.
Yum! Brands Dividend Announcement
The company also recently announced a quarterly dividend, which was paid on Friday, September 18th. Shareholders of record on Wednesday, September 9th were given a dividend of $0.75 per share. The ex-dividend date of this dividend was Wednesday, September 9th. This represents a $3.00 annualized dividend and a dividend yield of 2.0%. Yum! Brands’s dividend payout ratio (DPR) is currently 37.74%.
About Yum! Brands
Yum! Brands, Inc is a global restaurant company that develops, operates, and franchises quick-service restaurants. Its portfolio includes KFC, which specializes in fried and cooked chicken; Taco Bell, known for Mexican-inspired food; Pizza Hut, which offers pizza and related products; and The Habit Burger Grill, a fast-casual chain focused on chargrilled burgers, sandwiches, salads, and shakes.
The company primarily uses a franchised business model, working with franchisees and licensees to operate restaurants in more than 150 countries and territories.
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