Yum! Brands, Inc. (NYSE:YUM) Sees Large Decline in Short Interest

Yum! Brands, Inc. (NYSE:YUM) was the target of a significant decrease in short interest in February. As of February 13th, there was short interest totaling 5,748,328 shares, a decrease of 18.0% from the January 29th total of 7,008,607 shares. Currently, 2.1% of the company’s stock are short sold. Based on an average daily volume of 2,377,047 shares, the days-to-cover ratio is presently 2.4 days. Based on an average daily volume of 2,377,047 shares, the days-to-cover ratio is presently 2.4 days. Currently, 2.1% of the company’s stock are short sold.

Insider Buying and Selling at Yum! Brands

In related news, CEO Christopher Lee Turner sold 242 shares of Yum! Brands stock in a transaction dated Thursday, February 26th. The shares were sold at an average price of $166.02, for a total transaction of $40,176.84. Following the completion of the transaction, the chief executive officer directly owned 65,297 shares of the company’s stock, valued at $10,840,607.94. This trade represents a 0.37% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Scott Mezvinsky sold 1,612 shares of the company’s stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $164.63, for a total transaction of $265,383.56. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 14,138 shares of company stock valued at $2,289,990. 0.33% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. MV Capital Management Inc. bought a new stake in shares of Yum! Brands during the 4th quarter valued at $28,000. Wiser Advisor Group LLC purchased a new stake in Yum! Brands in the 3rd quarter worth $28,000. Salomon & Ludwin LLC increased its stake in Yum! Brands by 679.2% in the 3rd quarter. Salomon & Ludwin LLC now owns 187 shares of the restaurant operator’s stock worth $28,000 after buying an additional 163 shares in the last quarter. Community Bank N.A. bought a new stake in Yum! Brands during the third quarter valued at about $29,000. Finally, Westside Investment Management Inc. lifted its position in shares of Yum! Brands by 81.7% in the third quarter. Westside Investment Management Inc. now owns 198 shares of the restaurant operator’s stock valued at $30,000 after acquiring an additional 89 shares in the last quarter. 82.37% of the stock is owned by hedge funds and other institutional investors.

Yum! Brands Stock Performance

Shares of YUM stock traded down $1.51 during trading hours on Wednesday, reaching $158.97. The company had a trading volume of 1,580,924 shares, compared to its average volume of 1,880,679. The business has a fifty day moving average price of $157.74 and a 200-day moving average price of $151.38. Yum! Brands has a one year low of $137.33 and a one year high of $169.39. The firm has a market cap of $43.94 billion, a PE ratio of 28.64, a price-to-earnings-growth ratio of 2.26 and a beta of 0.64.

Yum! Brands (NYSE:YUM) last posted its earnings results on Wednesday, February 4th. The restaurant operator reported $1.73 EPS for the quarter, missing analysts’ consensus estimates of $1.76 by ($0.03). The company had revenue of $2.52 billion during the quarter, compared to the consensus estimate of $2.45 billion. Yum! Brands had a negative return on equity of 22.42% and a net margin of 18.98%.The company’s revenue for the quarter was up 6.4% on a year-over-year basis. During the same period last year, the firm posted $1.61 EPS. Equities research analysts forecast that Yum! Brands will post 5.94 EPS for the current year.

Yum! Brands Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, March 6th. Investors of record on Friday, February 20th will be given a dividend of $0.75 per share. This represents a $3.00 dividend on an annualized basis and a yield of 1.9%. This is a boost from Yum! Brands’s previous quarterly dividend of $0.71. The ex-dividend date is Friday, February 20th. Yum! Brands’s dividend payout ratio (DPR) is currently 54.05%.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on the company. JPMorgan Chase & Co. boosted their price target on Yum! Brands from $160.00 to $170.00 and gave the stock an “overweight” rating in a research report on Tuesday, February 24th. TD Cowen reiterated a “buy” rating and set a $180.00 price objective on shares of Yum! Brands in a research note on Thursday, February 5th. Guggenheim reissued a “buy” rating and issued a $180.00 target price on shares of Yum! Brands in a research note on Thursday, February 12th. Piper Sandler restated a “neutral” rating on shares of Yum! Brands in a report on Friday, December 5th. Finally, Weiss Ratings reaffirmed a “buy (b)” rating on shares of Yum! Brands in a research report on Monday, December 29th. Thirteen research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. Based on data from MarketBeat, Yum! Brands presently has an average rating of “Moderate Buy” and an average price target of $174.50.

Yum! Brands Company Profile

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.