Stock · YUM · Consumer Cyclical

Yum! Brands Inc

United States · Large Cap · listed since 1997 · Revenue 12 mo. $8.7B

Price as of 11/06/2026

StockScorer score
3.6
of 10 4 of 11 points Low Match To the score
Price
$161.14
1 Y −0.4%
Market cap
$43.4B
Phase
Payout
core business profitable, at least half of operating cash flow goes to shareholders
Revenue +6.3% a year (3 years)EBIT margin 30.8%Payout 67.1% of operating cash flow

Yum! Brands, Inc., together with its subsidiaries, develops, operates, and franchises traditional and non-traditional quick service restaurants in the United States, China, and internationally.

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Yum! Brands, Inc., together with its subsidiaries, develops, operates, and franchises traditional and non-traditional quick service restaurants in the United States, China, and internationally. The company operates in four segments: KFC Division, Taco Bell Division, Pizza Hut Division, and Habit Burger & Grill Division. It also operates restaurants under the KFC, Pizza Hut, Taco Bell, and Habit Burger & Grill brands, which specialize in chicken, Mexican-style food and pizza categories, made-to-order chargrilled burgers, sandwiches, and other products. The company was formerly known as TRICON Global Restaurants, Inc. and changed its name to Yum! Brands, Inc. in May 2002. Yum! Brands, Inc. was incorporated in 1997 and is headquartered in Louisville, Kentucky.

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Summary

Yum! Brands Inc is around the middle of the Consumer Cyclical sector overall

52.8 of 100

Mean of the six area values. Each area value is the mean of the stock's ranks among the companies in its sector. 50 is the middle of the sector, not a share of companies beaten.

Analysis

What the price requires

The price requires 12.1% FCF growth a year, more than achieved over the last 5 and 10 years.

If free cash flow stays at €1.5B (2025), it supports €16.3B. The remaining €22.6B of the market value assume it grows 12.1% a year for 10 years and not at all afterwards.

Required FCF growth per year

12.1%

no growth afterwards

Market value breakdown€38.9B market value, price as of 11/06/2026

€16.3B without growth
€22.6B priced-in growth
  • 5 yrs achieved 5.2%
  • 10 yrs achieved 6.2%
  • priced in 12.1%

Valuation against its own history

Price to operating cash flow 21.6×, below its usual range.

Middle half of 20 quarters: 22.0× to 24.5×, median 22.7×.

Measures only against its own past, not against what the company is worth. Price as of 11/06/2026.

3 signs support the expectation, 1 speaks against it.

What supports it

with respect to the priced-in expectation

  • High, stable gross margin median 47.5%, range 8.3 pp (10 years)
  • High return on capital every year ROCE at least 36.0% (10 years)
  • Low capital needs capex median 4.1% of revenue (10 years)

What speaks against it

with respect to the priced-in expectation

  • Expectation above the company's own record priced in 12.1%, achieved at most 6.2%

Since the last quarter

Q1 → Q2 2026

A calm quarter: no figure moved noticeably.

7 more unchanged: Revenue, 12 mo., FCF, 12 mo., Gross margin, EBIT margin, FCF margin, Net debt, Shares outstanding

Derivation

How the sector comparison is derived

Each area value is the average of its metrics' ranks within the sector (0 to 100, 50 is the middle). For metrics where lower is better, the rank is mirrored. The overall value is the average of the area values.

Price as of 11/06/2026.

Profitability69.1above the middleEarns more than the sector: EBIT margin 30.80%, sector 10.89%.
MetricStockSector medianPosition in sector
Return on equity−23.33%11.07%Rank 6
Return on capital (Greenblatt)75.70%17.91%Rank 91
EBIT margin30.80%10.89%Rank 94
FCF margin19.95%8.07%Rank 88
Gross margin46.17%34.00%Rank 67
Growth53.7around the middleGrows about as fast as the sector.
MetricStockSector medianPosition in sector
Revenue growth, 1 year8.81%5.10%Rank 68
Earnings growth, 3 years per year7.07%8.34%Rank 46
Earnings growth, 5 years per year13.75%15.10%Rank 47
Sustainable growth (ROE × retained earnings)4.52%4.34%Rank 53
Valuation31.8below the middleValued higher than the sector: EV/sales 6.64, sector 1.95.
MetricStockSector medianPosition in sector
Earnings yield3.48%4.32%Rank 43
FCF yield3.78%4.17%Rank 45
EV/saleslower is better6.641.95Rank 6
EV/EBITlower is better21.5716.88Rank 33
Momentum71.4above the middleShare price doing better than the sector: Distance from 52-week high −4.17%, sector −15.83%.
MetricStockSector medianPosition in sector
Share price, 1 year−0.44%−4.35%Rank 56
Share price, 6 months6.53%3.63%Rank 60
Share price, 3 months12.02%2.92%Rank 84
Distance from 52-week high−4.17%−15.83%Rank 86
Quality57.3around the middleQuality about like the sector.
MetricStockSector medianPosition in sector
Accruals (Sloan)lower is better7.40%0.39%Rank 11
Change in share countlower is better−2.46%−0.37%Rank 72
Dividend streak in years84Rank 82
Price reaction to results, market-adjusted1.44%0.16%Rank 64
Balance sheet & risk33.6below the middleMore risk than the sector: Equity ratio −89.36%, sector 40.59%.
MetricStockSector medianPosition in sector
Equity ratio−89.36%40.59%Rank 0
Net debt/EBITDAlower is better4.020.99Rank 13
Debt to equitylower is betterdoes not count towards the rank−1.640.49
Volatility, 1 yearlower is better24.80%33.42%Rank 87

Ten years in figures

Revenue from $6.4B (2016) to $8.2B (2025), 2.9% a year.

Fiscal years, amounts in USD
YearRevenue, $BEBIT marginFCFSharesNet debt, $B
20166.426.5%$826.0M400M8.4
20175.947.0%$712.0M355M8.3
20185.740.4%$942.0M329M9.8
20195.634.5%$1.1B313M10.7
20205.726.6%$1.1B307M10.9
20216.632.5%$1.5B302M11.6
20226.832.0%$1.1B290M12.3
20237.132.8%$1.3B285M11.5
20247.531.8%$1.4B285M11.7
20258.230.8%$1.6B278M11.2
3.6 / 10Low MatchStockScorer score4 of 11 points

2 of 7 StockScorer Score rules met · How the score is built

Yum! Brands Inc mainly meets criteria in the Profitability category. Result from 18 strategies checked.

This stock · Profitability: 67%This stock · Growth: 0%This stock · Valuation: 0%This stock · Momentum: 0%Median of all stocks · Profitability: 33%Median of all stocks · Growth: 0%Median of all stocks · Valuation: 0%Median of all stocks · Momentum: 0%50%100%ProfitabilityGrowthValuationMomentumThis stockMedian of all stocks

How Yum! Brands Inc's score is built

Yum! Brands Inc is rated here with the StockScorer Score strategy, the flagship rule set. It compares return and cash-flow metrics with the median of the company's own sector and checks growth and price trend.

2 of 7 rules met

4 of 11 points

  1. Free cash flow yield above the sector mediannot met0 of 2 points
  2. Return on capital (Greenblatt ROC) above the sector medianmet2 of 2 points
  3. Return on equity above the sector mediannot met0 of 1 point
  4. Free cash flow margin above the sector medianmet2 of 2 points
  5. Revenue growth above 15%not met0 of 2 points
  6. 3-year earnings growth above 12% p.a.not met0 of 1 point
  7. 12-month share price more than 20 percentage points ahead of the marketnot met0 of 1 point
  8. Exclusion: financial and real estate stocksdoes not apply

Detail data

How does Yum! Brands Inc stock perform across 18 strategies?

Excerpt from 18 strategies checked. The full evaluation is visible after a free sign-up.

12 more strategies locked

With a free account, you can see the match across all strategies checked in one complete overview.

  • Growth Momentum (CAN SLIM principle)
  • Magic Formula: Value + Quality
  • Defensive: Low Volatility
  • Balanced GARP
  • Trending Value: Value + Momentum
  • High-Growth / Rule of 40
  • PEG Strategy (inspired by Peter Lynch)
  • Altman Z-Score: Stress Test
  • Dividend Aristocrats & Continuity
  • Acquirer's Multiple: EV/EBIT Deep Value
  • Levermann Strategy (13 Criteria)
  • Undervalued Stocks: Multi-Factor Check

Yum! Brands Inc key metrics: P/E, P/B and equity ratio

Selected fundamental metrics for Yum! Brands Inc.

MetricStockSector
P/E ratio28.721.6
P/B ratio−5.52.4
Return on equity (ROE)−23.3%11.1%
Equity ratio−89.4%40.6%
Debt-to-equity (D/E)−1.640.49
Dividend yield1.8%2.2%

Similar stocks in Consumer Cyclical

How comparable stocks in the same sector score in the StockScorer model.

SymbolCompanyRating
YUMYum! Brands Incthis page
CMGChipotle Mexican Grill IncMedium5.5
QSR.TORestaurant Brands International Inclocked
DRIDarden Restaurants IncHigh6.4
TXRHTexas Roadhouse Inclocked
SBUXStarbucks Corporationlocked

Frequently asked questions about Yum! Brands Inc stock

How does Yum! Brands Inc stock (YUM) score in the StockScorer model?
Yum! Brands Inc stock reaches a StockScorer score of 3.6 out of 10, which is a low match with the rule-based strategies. 2 out of 7 flagship profile rules are met.
What is Yum! Brands Inc's P/E ratio?
Yum! Brands Inc's P/E ratio is 28.7. The Consumer Cyclical sector median is 21.6.
What sector is Yum! Brands Inc in?
Yum! Brands Inc is assigned to the Consumer Cyclical sector. Its rank within the sector is 52.8 out of 100: 100 means the stock leads its peer group of large and mid-cap sector stocks in every measured area.

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