Scott Mezvinsky Sells 268 Shares of Yum! Brands (NYSE:YUM) Stock

Yum! Brands, Inc. (NYSE:YUM) CEO Scott Mezvinsky sold 268 shares of Yum! Brands stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $153.15, for a total value of $41,044.20. Following the sale, the chief executive officer owned 483 shares of the company’s stock, valued at approximately $73,971.45. This trade represents a 35.69% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Scott Mezvinsky also recently made the following trade(s):

• On Wednesday, July 1st, Scott Mezvinsky sold 277 shares of Yum! Brands stock. The stock was sold at an average price of $160.42, for a total transaction of $44,436.34.
• On Monday, June 1st, Scott Mezvinsky sold 261 shares of Yum! Brands stock. The shares were sold at an average price of $148.14, for a total transaction of $38,664.54.

Yum! Brands Price Performance

Shares of Yum! Brands stock opened at $147.78 on Wednesday. Yum! Brands, Inc. has a 1 year low of $137.33 and a 1 year high of $170.14. The firm has a market cap of $40.73 billion, a PE ratio of 18.59, a PEG ratio of 1.95 and a beta of 0.55. The company has a 50 day simple moving average of $153.67 and a two-hundred day simple moving average of $156.59.

Yum! Brands (NYSE:YUM) last released its quarterly earnings results on Thursday, July 30th. The restaurant operator reported $1.62 EPS for the quarter, topping analysts’ consensus estimates of $1.58 by $0.04. The business had revenue of $2.17 billion during the quarter, compared to analysts’ expectations 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 quarterly revenue was up 12.2% compared to the same quarter last year. During the same quarter in the previous year, the company earned $1.44 EPS. As a group, research analysts anticipate that Yum! Brands, Inc. will post 6.6 earnings per share for the current year.

Yum! Brands announced that its board has authorized a share buyback plan on Tuesday, June 16th that permits the company to buyback $4.00 billion in outstanding shares. This buyback authorization permits the restaurant operator to reacquire up to 9.4% of its stock through open market purchases. Stock buyback plans are typically a sign that the company’s leadership believes its stock is undervalued.

Yum! Brands Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, June 12th. Investors of record on Wednesday, May 27th were paid a $0.75 dividend. This represents a $3.00 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date of this dividend was Wednesday, May 27th. Yum! Brands’s dividend payout ratio is currently 37.74%.

Trending Headlines about Yum! Brands

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

• Positive Sentiment: Taco Bell reported strong digital-sales momentum tied to its loyalty program and plans to launch a redesigned app in the third quarter. Better engagement and ordering frequency could support a recovery in traffic and sales. Taco Bell credits its loyalty program for digital sales growth
• Positive Sentiment: Analysts highlighted YUM’s nearly $9 billion digital ecosystem across ordering, loyalty and restaurant operations. The platform offers long-term growth potential, although investors remain cautious about execution risk. YUM’s digital growth engine
• Positive Sentiment: JPMorgan lowered its price target from $170 to $160 but maintained an “overweight” rating, implying substantial potential upside from the referenced trading level. The target cut nevertheless signals more measured expectations. JPMorgan rating and price target report
• Neutral Sentiment: Commentary on a potential $2.7 billion Pizza Hut exit suggests that separating the brand could simplify YUM’s portfolio, reduce debt and direct resources toward KFC and Taco Bell. However, the reports describe a strategic scenario rather than confirming a completed transaction. YUM’s Pizza Hut exit analysis
• Neutral Sentiment: Executives disclosed modest stock sales conducted under pre-arranged Rule 10b5-1 plans, including sales by CEO Christopher Lee Turner and other company executives. The transactions are unlikely to represent a strong discretionary bearish signal. SEC insider transaction filing
• Negative Sentiment: Reports that Michigan health officials contacted Yum! about the Taco Bell cyclospora outbreak before a public alert have intensified concerns about customer traffic, sales damage and potential brand-reputation costs. Rising reported fatalities are adding to investor anxiety. Michigan cyclospora alert involving Taco Bell

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. Steph & Co. grew its position in Yum! Brands by 107.5% during the 1st quarter. Steph & Co. now owns 166 shares of the restaurant operator’s stock worth $26,000 after acquiring an additional 86 shares during the last quarter. MV Capital Management Inc. bought a new stake in Yum! Brands in the fourth quarter valued at approximately $28,000. Manning & Napier Advisors LLC bought a new stake in Yum! Brands in the first quarter valued at approximately $28,000. Wiser Advisor Group LLC purchased a new stake in shares of Yum! Brands during the third quarter valued at approximately $28,000. Finally, State of Wyoming purchased a new stake in shares of Yum! Brands during the first quarter valued at approximately $30,000. Hedge funds and other institutional investors own 82.37% of the company’s stock.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on YUM. Evercore reiterated an “outperform” rating on shares of Yum! Brands in a research report on Tuesday, June 16th. Morgan Stanley upgraded Yum! Brands from an “equal weight” rating to an “overweight” rating and boosted their target price for the stock from $180.00 to $185.00 in a research report on Wednesday, June 3rd. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and issued a $174.00 target price on shares of Yum! Brands in a research note on Friday. TD Cowen reiterated a “buy” rating and set a $180.00 price target on shares of Yum! Brands in a research report on Tuesday, June 16th. Finally, UBS Group reissued a “buy” rating on shares of Yum! Brands in a research note on Thursday, June 18th. Eleven equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $174.31.

About Yum! Brands

Yum! Brands, Inc (NYSE: YUM) is a global quick-service restaurant company that develops, operates and franchises a portfolio of well-known restaurant brands. The company’s principal brands are KFC, Pizza Hut and Taco Bell, each focused on distinct product categories—KFC on fried chicken and related menu items, Pizza Hut on pizza and complementary offerings, and Taco Bell on Mexican-inspired quick-service food. Yum! is headquartered in Louisville, Kentucky and was formed as Tricon Global Restaurants in 1997 when PepsiCo spun off its restaurant businesses, later adopting the Yum! Brands name.

The company’s operating model centers on brand development, system growth and franchising; a large portion of its restaurants are operated by independent franchisees, and Yum! generates revenue through franchise royalties and fees in addition to sales from company-operated locations.