Yum Brands Inc (YUM) Clearly Signals Buy-Into the Stock: Don’t ignore the signals

With 2.17 million shares changed hands, the volume of the stock remained heavier than its average volume of 1.8 million shares. During the session, the Restaurants company that operates in wider Consumer Cyclical sector, reached to the highest price of $131.6 whereas the lowest price it dropped to was $128.55. The 52-week range on YUM shows that it touched its highest point at $143.20 and its lowest point at $122.13 during that stretch. It currently has a 1-year price target of $142.32. With its current market cap of 36.53 billion, YUM has annualized dividend of $2.68 while the current yield stands at 2.05%. YUM paid its most recent dividend on 1733097600, while the ex-dividend date for that was 1733097600. Beta for the stock currently stands at 1.10.

Price Performance and Earnings:

Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of YUM was up-trending over the past week, with a rise of 4.44%, but this was down by -2.22% over a month. Three-month performance dropped to -2.34% while six-month performance rose 2.96%. The stock gained 1.12% in the past year, while it has lost -2.44% so far this year. A look at the trailing 12-month EPS for YUM yields 5.35 with Next year EPS estimates of 6.00. For the next quarter, that number is 1.60. This implies an EPS growth rate of 5.90% for this year and 9.59% for next year. EPS is expected to grow by 8.77% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 3.62%.

Float and Shares Shorts:

At present, 280.00 million YUM shares are outstanding with a float of 278.65 million shares on hand for trading. On 2024-12-31, short shares totaled 6.03 million, which was 216.0 higher than short shares on 1732838400. In addition to Mr. David W. Gibbs as the firm’s CEO & Director, Mr. Christopher Lee Turner serves as its Chief Financial & Franchising Officer.

Institutional Ownership:

Through their ownership of 0.87189 of YUM’s outstanding shares, institutional investors have minority control over the company.

An Overview of Recent Financials:

Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on 2024-09-30, YUM reported revenue of $1826000000.0 and operating income of $603000000.0. The EBITDA in the recently reported quarter was $652000000.0 and diluted EPS was $1.35.

Analysts Ratings:

Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for YUM since 14 analysts follow the stock currently. There are 9 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 5 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With YUM analysts setting a high price target of 162.0 and a low target of 130.0, the average target price over the next 12 months is 142.03375. Based on these targets, YUM could surge 23.77% to reach the target high and fall by -0.68% to reach the target low. Reaching the average price target will result in a growth of 8.51% from current levels.

Analysts have provided yearly estimates in a range of $5.61328 being high and $5.41281 being low. For YUM, this leads to a yearly average estimate of $5.47295. Based on analyst estimates, the high estimate for the next quarter is $1.41 and the low estimate is $1.16. The average estimate for the next quarter is thus $1.3.