Yum! Brands (NYSE:YUM) Announces Earnings Results, Misses Expectations By $0.04 EPS

Yum! Brands (NYSE:YUM) released its quarterly earnings results on Tuesday. The restaurant operator reported $1.37 EPS for the quarter, missing analysts’ consensus estimates of $1.41 by ($0.04), Briefing.com reports. The company had revenue of $1.83 billion during the quarter, compared to analysts’ expectations of $1.90 billion. Yum! Brands had a net margin of 21.96% and a negative return on equity of 18.90%. The company’s quarterly revenue was up 6.9% compared to the same quarter last year. During the same period in the previous year, the company posted $1.44 earnings per share.

Yum! Brands Price Performance

Shares of NYSE:YUM traded down $1.26 on Wednesday, hitting $133.46. The company’s stock had a trading volume of 1,218,484 shares, compared to its average volume of 1,939,297. The company has a 50-day simple moving average of $134.26 and a 200 day simple moving average of $134.81. Yum! Brands has a 1 year low of $123.60 and a 1 year high of $143.20. The company has a market capitalization of $37.52 billion, a PE ratio of 24.20, a PEG ratio of 2.09 and a beta of 1.10.

Yum! Brands Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, September 6th. Shareholders of record on Tuesday, August 27th were issued a $0.67 dividend. The ex-dividend date was Tuesday, August 27th. This represents a $2.68 annualized dividend and a dividend yield of 2.01%. Yum! Brands’s payout ratio is currently 49.08%.

Insider Activity at Yum! Brands

In related news, CEO David W. Gibbs sold 7,069 shares of the firm’s stock in a transaction dated Thursday, August 15th. The stock was sold at an average price of $137.92, for a total transaction of $974,956.48. Following the transaction, the chief executive officer now directly owns 159,132 shares of the company’s stock, valued at approximately $21,947,485.44. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. In related news, CEO David W. Gibbs sold 7,069 shares of the firm’s stock in a transaction that occurred on Thursday, August 15th. The stock was sold at an average price of $137.92, for a total transaction of $974,956.48. Following the transaction, the chief executive officer now directly owns 159,132 shares in the company, valued at $21,947,485.44. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Scott Catlett sold 8,234 shares of the firm’s stock in a transaction that occurred on Tuesday, August 13th. The stock was sold at an average price of $137.79, for a total value of $1,134,562.86. Following the transaction, the insider now owns 29,159 shares in the company, valued at approximately $4,017,818.61. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 30,622 shares of company stock valued at $4,172,740. Corporate insiders own 0.31% of the company’s stock.

Analyst Upgrades and Downgrades

A number of equities research analysts recently commented on the company. Deutsche Bank Aktiengesellschaft lowered their price target on Yum! Brands from $147.00 to $145.00 and set a “hold” rating for the company in a research report on Wednesday. Robert W. Baird upped their price objective on Yum! Brands from $150.00 to $154.00 and gave the company an “outperform” rating in a research note on Wednesday, August 7th. Morgan Stanley reduced their price objective on Yum! Brands from $155.00 to $153.00 and set an “overweight” rating for the company in a research note on Tuesday, July 16th. Stifel Nicolaus reduced their price objective on Yum! Brands from $135.00 to $130.00 and set a “hold” rating for the company in a research note on Monday, July 22nd. Finally, TD Cowen downgraded Yum! Brands from a “buy” rating to a “hold” rating and cut their price target for the stock from $156.00 to $145.00 in a research note on Wednesday, October 16th. Ten investment analysts have rated the stock with a hold rating and six have given a buy rating to the company’s stock. According to MarketBeat, Yum! Brands currently has a consensus rating of “Hold” and a consensus target price of $146.31.

About Yum! Brands

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.