FY2027 EPS Estimate for Yum! Brands Increased by Analyst

Yum! Brands, Inc. (NYSE:YUM) – Zacks Research boosted their FY2027 earnings estimates for shares of Yum! Brands in a report issued on Monday, October 5th. Zacks Research analyst Team now expects that the restaurant operator will post earnings per share of $6.92 for the year, up from their previous estimate of $6.90. Zacks Research has a “Hold” rating on the stock. The consensus estimate for Yum! Brands’ current full-year earnings is $6.46 per share. Zacks Research also issued estimates for Yum! Brands’ Q4 2027 earnings at $2.05 EPS and FY2028 earnings at $7.71 EPS.

Yum! Brands (NYSE:YUM) last issued its quarterly earnings results on Thursday, July 30th. The restaurant operator reported $1.62 earnings per share for the quarter, topping analysts’ consensus estimates of $1.58 by $0.04. The company had revenue of $2.17 billion during the quarter, compared to analyst estimates of $2.18 billion. Yum! Brands had a net margin of 25.42% and a negative return on equity of 24.57%. The business’s revenue for the quarter was up 12.2% compared to the same quarter last year. During the same period in the prior year, the business posted $1.44 EPS.

YUM has been the subject of a number of other reports. UBS Group reaffirmed a “buy” rating on shares of Yum! Brands in a research note on Thursday, June 18th. TD Cowen dropped their price objective on Yum! Brands from $180.00 to $177.00 and set a “buy” rating on the stock in a research note on Wednesday. Weiss Ratings lowered Yum! Brands from a “buy (b)” rating to a “buy (b-)” rating in a report on Tuesday, July 28th. Argus reaffirmed a “hold” rating on shares of Yum! Brands in a research note on Thursday, September 24th. Finally, Seaport Research Partners started coverage on Yum! Brands in a report on Wednesday, September 16th. They set a “buy” rating and a $162.00 target price on the stock. Thirteen investment analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $172.56.

Yum! Brands Price Performance

NYSE YUM opened at $143.18 on Wednesday. Yum! Brands has a 12 month low of $134.26 and a 12 month high of $170.14. The firm has a market capitalization of $39.07 billion, a PE ratio of 18.01, a P/E/G ratio of 2.24 and a beta of 0.55. The company’s 50 day simple moving average is $145.85 and its 200 day simple moving average is $151.96.

Yum! Brands Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, September 18th. Stockholders of record on Wednesday, September 9th were paid 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 2.1%. Yum! Brands’s dividend payout ratio (DPR) is currently 37.74%.

Yum! Brands announced that its Board of Directors has initiated a stock buyback program on Tuesday, June 16th that authorizes the company to buyback $4.00 billion in shares. This buyback authorization authorizes the restaurant operator to reacquire up to 9.4% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s management believes its stock is undervalued.

Insider Buying and Selling

In related news, CEO Scott Mezvinsky sold 268 shares of the stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of $153.64, for a total value of $41,175.52. Following the completion of the transaction, the chief executive officer owned 482 shares in the company, valued at $74,054.48. This trade represents a 35.73% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Tracy Skeans sold 3,494 shares of Yum! Brands stock in a transaction dated Monday, August 24th. The stock was sold at an average price of $158.00, for a total value of $552,052.00. Following the completion of the transaction, the chief operating officer directly owned 3 shares in the company, valued at $474. This represents a 99.91% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 12,778 shares of company stock valued at $1,966,393. Insiders own 0.14% of the company’s stock.

Institutional Trading of Yum! Brands

A number of hedge funds have recently bought and sold shares of YUM. Harrell Investment Partners LLC boosted its stake in Yum! Brands by 1.5% during the 2nd quarter. Harrell Investment Partners LLC now owns 4,235 shares of the restaurant operator’s stock valued at $677,000 after purchasing an additional 62 shares during the last quarter. Econ Financial Services Corp raised its stake in shares of Yum! Brands by 0.4% in the first quarter. Econ Financial Services Corp now owns 15,536 shares of the restaurant operator’s stock worth $2,416,000 after purchasing an additional 63 shares during the last quarter. Elevation Wealth Partners LLC lifted its holdings in shares of Yum! Brands by 44.6% in the second quarter. Elevation Wealth Partners LLC now owns 227 shares of the restaurant operator’s stock valued at $36,000 after purchasing an additional 70 shares in the last quarter. Bridgewater Advisors Inc. lifted its holdings in shares of Yum! Brands by 3.5% in the first quarter. Bridgewater Advisors Inc. now owns 2,108 shares of the restaurant operator’s stock valued at $311,000 after purchasing an additional 72 shares in the last quarter. Finally, GSG Advisors LLC boosted its position in shares of Yum! Brands by 5.4% during the first quarter. GSG Advisors LLC now owns 1,511 shares of the restaurant operator’s stock valued at $235,000 after buying an additional 77 shares during the last quarter. 82.37% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Yum! Brands

Here are the key news stories impacting Yum! Brands this week:

• Positive Sentiment: Zacks Research increased its EPS forecasts for Yum! Brands to $6.92 for fiscal 2027 and $7.71 for fiscal 2028, while raising its fourth-quarter 2027 estimate to $2.05 from $2.03. The firm maintains a Hold rating, but the higher estimates suggest improving earnings expectations. Zacks Research Predicts Higher Earnings for Yum! Brands
• Positive Sentiment: TD Cowen maintained its Buy rating while trimming its price target to $177 from $180. The revised target still implies substantial upside from recent trading levels, supporting investor confidence in YUM’s valuation. TD Cowen Adjusts Price Target on Yum! Brands
• Neutral Sentiment: Investor coverage remains mixed but generally constructive. Yum! Brands has a consensus rating of “Moderate Buy,” with analysts citing the company’s global franchise model, dividend and recently authorized $4 billion share-repurchase program as potential supports. A comparison of YUM and Domino’s also highlights the trade-off between dividend growth and share-price stability. YUM versus DPZ dividend comparison
• Negative Sentiment: CEO Christopher Lee Turner sold 285 shares for approximately $39,931, reducing his direct holdings by 0.45%. Because the transaction was made under a pre-arranged Rule 10b5-1 plan and represents a small portion of his remaining stake, it is a limited negative signal rather than a clear change in management’s outlook. Yum! Brands CEO insider sale

Yum! Brands Company Profile

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.