Yum! Brands (NYSE:YUM) Sets New 1-Year Low – Here’s Why

Shares of Yum! Brands, Inc. (NYSE:YUM) hit a new 52-week low during mid-day trading on Friday . The stock traded as low as $124.68 and last traded at $125.06, with a volume of 807947 shares. The stock had previously closed at $127.74.

Wall Street Analysts Forecast Growth

YUM has been the topic of several research analyst reports. TD Cowen reiterated a “hold” rating and issued a $145.00 price objective on shares of Yum! Brands in a research note on Wednesday, November 6th. Oppenheimer increased their price target on Yum! Brands from $154.00 to $160.00 and gave the stock an “outperform” rating in a research note on Tuesday, January 7th. Argus raised Yum! Brands from a “hold” rating to a “buy” rating and set a $155.00 price objective for the company in a report on Tuesday, December 31st. Citigroup reiterated a “neutral” rating and set a $141.00 target price (down previously from $153.00) on shares of Yum! Brands in a research report on Friday. Finally, Deutsche Bank Aktiengesellschaft lowered their price target on shares of Yum! Brands from $147.00 to $145.00 and set a “hold” rating on the stock in a research report on Wednesday, November 6th. Eleven equities research analysts have rated the stock with a hold rating and six have issued a buy rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $146.24.

Yum! Brands Price Performance

The firm has a market capitalization of $34.45 billion, a PE ratio of 23.07, a P/E/G ratio of 2.37 and a beta of 1.11. The business’s 50 day moving average is $134.85 and its two-hundred day moving average is $133.84.

Yum! Brands (NYSE:YUM) last released its earnings results on Tuesday, November 5th. The restaurant operator reported $1.37 EPS for the quarter, missing analysts’ consensus estimates of $1.41 by ($0.04). Yum! Brands had a net margin of 21.13% and a negative return on equity of 18.93%. The firm had revenue of $1.83 billion during the quarter, compared to the consensus estimate of $1.90 billion. During the same period in the prior year, the company earned $1.44 EPS. The firm’s revenue was up 6.9% compared to the same quarter last year. Analysts expect that Yum! Brands, Inc. will post 5.47 EPS for the current fiscal year.

Yum! Brands Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, December 13th. Investors of record on Monday, December 2nd were given a $0.67 dividend. The ex-dividend date was Monday, December 2nd. This represents a $2.68 dividend on an annualized basis and a yield of 2.17%. Yum! Brands’s payout ratio is 50.09%.

Insider Buying and Selling at Yum! Brands

In other Yum! Brands news, CEO David W. Gibbs sold 7,005 shares of Yum! Brands stock in a transaction that occurred on Tuesday, October 15th. The stock was sold at an average price of $134.43, for a total value of $941,682.15. Following the transaction, the chief executive officer now directly owns 152,634 shares of the company’s stock, valued at $20,518,588.62. The trade was a 4.39 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Insiders have sold 17,879 shares of company stock worth $2,424,167 over the last ninety days. Insiders own 0.31% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Safe Harbor Fiduciary LLC bought a new position in shares of Yum! Brands during the third quarter valued at approximately $29,000. DiNuzzo Private Wealth Inc. lifted its position in shares of Yum! Brands by 957.1% in the 3rd quarter. DiNuzzo Private Wealth Inc. now owns 222 shares of the restaurant operator’s stock worth $31,000 after purchasing an additional 201 shares during the period. Meeder Asset Management Inc. boosted its stake in shares of Yum! Brands by 43.6% during the 2nd quarter. Meeder Asset Management Inc. now owns 270 shares of the restaurant operator’s stock valued at $36,000 after purchasing an additional 82 shares in the last quarter. Kimelman & Baird LLC purchased a new position in shares of Yum! Brands during the second quarter valued at about $37,000. Finally, Strategic Investment Solutions Inc. IL bought a new position in Yum! Brands in the second quarter worth about $39,000. Institutional investors own 82.37% of the company’s stock.

Yum! Brands Company Profile

Yum! Brands, Inc, together with its subsidiaries, develops, operates, and franchises quick service restaurants worldwide. The company operates through the KFC Division, the Taco Bell Division, the Pizza Hut Division, and the Habit Burger Grill Division segments. It also operates restaurants under the KFC, Pizza Hut, Taco Bell, and The Habit Burger Grill brands, which specialize in chicken, pizza, made-to-order chargrilled burgers, sandwiches, Mexican-style food categories, and other food products.