Danica Pension Livsforsikringsaktieselskab acquired a new stake in shares of Yum! Brands, Inc. (NYSE:YUM – Free Report) in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 34,314 shares of the restaurant operator’s stock, valued at approximately $5,335,000.
Other institutional investors also recently bought and sold shares of the company. Steph & Co. grew its stake in shares of Yum! Brands by 107.5% during the 1st 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. MV Capital Management Inc. bought a new position in shares of Yum! Brands in the 4th quarter worth approximately $28,000. Manning & Napier Advisors LLC purchased a new position in shares of Yum! Brands in the first quarter worth approximately $28,000. Wiser Advisor Group LLC purchased a new position in shares of Yum! Brands in the third quarter worth approximately $28,000. Finally, Jessup Wealth Management Inc bought a new stake in Yum! Brands during the fourth quarter valued at approximately $30,000. Institutional investors own 82.37% of the company’s stock.
Yum! Brands Stock Performance
YUM opened at $147.60 on Thursday. The stock has a market cap of $40.68 billion, a price-to-earnings ratio of 23.81, a price-to-earnings-growth ratio of 1.85 and a beta of 0.56. The firm’s fifty day moving average is $154.16 and its 200 day moving average is $156.79. Yum! Brands, Inc. has a fifty-two week low of $137.33 and a fifty-two week high of $170.14.
Yum! Brands Dividend Announcement
The firm also recently announced a quarterly dividend, which was paid on Friday, June 12th. Investors of record on Wednesday, May 27th were given a dividend of $0.75 per share. The ex-dividend date was Wednesday, May 27th. This represents a $3.00 annualized dividend and a dividend yield of 2.0%. Yum! Brands’s dividend payout ratio (DPR) is currently 48.39%.
Yum! Brands announced that its Board of Directors has initiated a share repurchase plan on Tuesday, June 16th that authorizes the company to repurchase $4.00 billion in outstanding shares. This repurchase authorization authorizes the restaurant operator to purchase up to 9.4% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s board believes its stock is undervalued.
Analysts Set New Price Targets
A number of analysts have commented on the stock. BMO Capital Markets reaffirmed a “market perform” rating and set a $168.00 target price on shares of Yum! Brands in a report on Monday, May 4th. Royal Bank Of Canada reiterated a “sector perform” rating and set a $165.00 price target on shares of Yum! Brands in a research note on Monday, April 20th. Morgan Stanley raised shares of Yum! Brands from an “equal weight” rating to an “overweight” rating and boosted their price objective for the company from $180.00 to $185.00 in a research report on Wednesday, June 3rd. Deutsche Bank Aktiengesellschaft set a $177.00 price objective on Yum! Brands in a research note on Thursday, April 30th. Finally, UBS Group restated a “buy” rating on shares of Yum! Brands in a research report on Thursday, June 18th. Eleven research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat, Yum! Brands currently has an average rating of “Moderate Buy” and a consensus price target of $174.81.
Get Our Latest Analysis on YUM
Trending Headlines about Yum! Brands
Here are the key news stories impacting Yum! Brands this week:
- Positive Sentiment: Yum appointed Nai De Leon as Chief People & Culture Officer, effective November 1, signaling a leadership refresh and continued focus on culture and talent management at the company. Yum! Brands (YUM) Appoints Nai De Leon As People Chief In Leadership Shift
- Positive Sentiment: Taco Bell is responding to the outbreak with a $1 lettuce-free Enchirito promotion, a move aimed at winning back customers and stabilizing traffic. Taco Bell Offers $1 Lettuce-Free Enchirito to Win Back Customers Post-Parasite
- Neutral Sentiment: Analysts said the Taco Bell outbreak may hurt sales in the short term, but they do not expect lasting damage to the brand, suggesting the selloff may be tied more to near-term sentiment than a structural problem. Cyclosporiasis outbreak hits Taco Bell sales, unlikely to cause lasting scar, analysts say
- Negative Sentiment: Reports that Taco Bell visits plunged 19% after the outbreak highlight a meaningful traffic hit, which could pressure same-store sales and earnings expectations for Yum! Brands. Visits To Taco Bell Plummeted 19% After Cyclosporiasis Outbreak Linked To Restaurant’s Lettuce
Insider Activity
In other Yum! Brands news, CEO Aaron Powell sold 6,001 shares of the stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $160.42, for a total transaction of $962,680.42. Following the completion of the sale, the chief executive officer directly owned 12,003 shares of the company’s stock, valued at $1,925,521.26. This trade represents a 33.33% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Sean Tresvant sold 3,000 shares of Yum! Brands stock in a transaction that occurred on Tuesday, May 26th. The shares were sold at an average price of $154.68, for a total transaction of $464,040.00. Following the sale, the chief executive officer owned 3,140 shares in the company, valued at approximately $485,695.20. The trade was a 48.86% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 12,423 shares of company stock valued at $1,953,721 in the last three months. 0.14% of the stock is currently owned by insiders.
Yum! Brands Company Profile
Yum! Brands, Inc (NYSE: YUM) is a global quick-service restaurant company that develops, operates and franchises a portfolio of well-known restaurant brands. The company’s principal brands are KFC, Pizza Hut and Taco Bell, each focused on distinct product categories—KFC on fried chicken and related menu items, Pizza Hut on pizza and complementary offerings, and Taco Bell on Mexican-inspired quick-service food. Yum! is headquartered in Louisville, Kentucky and was formed as Tricon Global Restaurants in 1997 when PepsiCo spun off its restaurant businesses, later adopting the Yum! Brands name.
The company’s operating model centers on brand development, system growth and franchising; a large portion of its restaurants are operated by independent franchisees, and Yum! generates revenue through franchise royalties and fees in addition to sales from company-operated locations.
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