YUM - Yum! Brands Inc. | StockAlert.pro

Stock Details

Yum! Brands Inc. (YUM), a prominent company in the trade & services sector within the retail-eating places industry, is based in USA and primarily trades on the NYSE.Currently, the stock is trading at $146.76. Over the past 52 weeks, it has ranged between $120.96 and $162.50. This places the current price at 90.3% of its 52-week high and 21.3% above its 52-week low. Recent trading volume was recorded at 1,152,517. The International Securities Identification Number (ISIN) for this stock is US9884981013.

Fundamentals

Valuation Metrics

P/E Ratio (TTM)

29.56

Above market average

Forward P/E

24.57

Earnings expected to grow

PEG Ratio

2.04

Potentially overvalued

EV/EBITDA

19.83

EPS (TTM)

$5.02

Price to Sales

5.33

Beta

0.74

Less volatile than market

How is YUM valued relative to its earnings and growth?

Yum! Brands Inc. trades at a P/E ratio of 29.56, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. Looking ahead, the forward P/E of 24.57 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 2.04 indicates a premium valuation even accounting for growth.

What is YUM's risk profile compared to the market?

With a beta of 0.74, Yum! Brands Inc. is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability.

Performance & Growth

Profit Margin

18.40%

Operating Margin

32.10%

Return on Equity

0.00%

Return on Assets

24.90%

Revenue Growth (YoY)

11.80%

Earnings Growth (YoY)

-18.20%

How profitable and efficient is YUM's business model?

Yum! Brands Inc. achieves a profit margin of 18.40%, meaning it retains $18.40 from every $100 in revenue after all expenses. This is an impressive margin, indicating strong pricing power and efficient cost management that allows the company to generate substantial profits. The operating margin of 32.10% reveals how efficiently the company runs its core business operations before interest and taxes.0

What are YUM's recent growth trends?

Yum! Brands Inc.'s revenue grew by 11.80% year-over-year, showing steady progress in growing the business. This positive trajectory indicates the company maintains competitive positioning in its markets. Earnings decreased by 18.20% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against RETAIL-EATING PLACES industry averages for proper context.

Dividend Information

Dividend Per Share

$2.76

Dividend Yield

1.91%

Ex-Dividend Date

5/27/2025

Dividend Date

6/6/2025

What dividend income can investors expect from YUM?

Yum! Brands Inc. offers a dividend yield of 1.91%, paying $2.76 per share annually. This modest yield below 2% suggests the company prioritizes growth investments over current income. While the dividend provides some return, investors are likely attracted more by capital appreciation potential than income generation. To receive the next dividend, shares must be purchased before the ex-dividend date of 5/27/2025.

How reliable is YUM's dividend for long-term investors?

The dividend sustainability can be assessed through the payout ratio - Yum! Brands Inc. pays $2.76 per share in dividends against earnings of $5.02 per share, resulting in a payout ratio of 54.98%. This balanced payout between 30-60% suggests a sustainable dividend policy that allows both shareholder returns and business reinvestment. The dividend appears well-covered by earnings. The next dividend payment is scheduled for 6/6/2025.

Company Size & Market

Shares Outstanding

277.96M

Book Value/Share

-$28.07

Asset Type

Common Stock

What is YUM's market capitalization and position?

Yum! Brands Inc. has a market capitalization of $41.25B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 277.96M shares outstanding, the company's ownership is relatively concentrated. As a participant in the RETAIL-EATING PLACES industry, it competes with other firms in this sector.

How does YUM's price compare to its book value?

Yum! Brands Inc.'s book value per share is -$28.07, while the current stock price is $146.76, resulting in a price-to-book (P/B) ratio of -5.23. Trading below book value can indicate the market perceives challenges ahead, or it might represent a value opportunity if the assets are quality and earnings can recover. Value investors often screen for P/B ratios below 1.0. As a common stock, this represents equity ownership with voting rights.

Analyst Ratings

Analyst Target Price

$159.31

8.55% upside potential

Analyst Recommendations

Strong Buy

Buy

Hold

Sell

Strong Sell

How reliable are analyst predictions for YUM?

29 analysts cover YUM with 21% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The bearish sentiment could create opportunity if analysts are wrong. The consensus target of $159.31 implies 8.6% upside, but targets are often adjusted to follow price moves rather than predict them.

What is the Wall Street consensus on YUM?

Current analyst recommendations:1 Strong Buy, 5 Buy, 23 Hold, 00The neutral stance suggests uncertainty or fair valuation at current levels.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

Fundamentals last updated: Jul 1, 2025, 03:20 AM

Yum! Brands Inc. (YUM) Stock