YUM:NYSEYum! Brands, Inc. Analysis
Data as of 2026-05-12 - not real-time
$150.29
Latest Price
5/10Risk
Risk Level: Medium
Executive Summary
Yum! Brands delivers robust top‑line growth and healthy profitability, with revenue expanding at a double‑digit pace and operating margins comfortably above industry averages. The company generates strong operating cash flow, supports a stable dividend yielding around two percent, and maintains a solid payout ratio, yet a discounted cash flow model places intrinsic value well below the current market price, flagging an overvaluation concern.
On the technical front, the stock trades just above a key support level, while the 20‑day and 50‑day moving averages sit slightly higher, indicating a neutral trend. Momentum indicators show a bearish MACD crossover and an RSI that hints at modest oversold conditions, and volume is on the rise, suggesting potential short‑term buying interest. Recent earnings commentary underscores a solid start to the year and the rollout of cross‑brand value menus, reinforcing the longer‑term growth narrative.
On the technical front, the stock trades just above a key support level, while the 20‑day and 50‑day moving averages sit slightly higher, indicating a neutral trend. Momentum indicators show a bearish MACD crossover and an RSI that hints at modest oversold conditions, and volume is on the rise, suggesting potential short‑term buying interest. Recent earnings commentary underscores a solid start to the year and the rollout of cross‑brand value menus, reinforcing the longer‑term growth narrative.
Market Outlook
Short Term
< 1 yearNeutral
Model confidence: 6/10
Key Factors
- bearish MACD divergence
- price hovering just above support
- increasing trading volume
Medium Term
1–3 yearsNeutral
Model confidence: 7/10
Key Factors
- double‑digit revenue growth
- strong operating cash flow and dividend sustainability
- valuation gap between market price and DCF estimate
Long Term
> 3 yearsPositive
Model confidence: 8/10
Key Factors
- sustained global expansion and cross‑brand initiatives
- stable dividend with attractive payout ratio
- robust franchise model supporting long‑term cash generation
Key Metrics & Analysis
Financial Health
Revenue Growth15.20%
Profit Margin20.48%
P/E Ratio24.2
ROA23.30%
P/B Ratio-5.7
Op. Cash Flow$2.0B
Free Cash Flow$1.3B
Technical Analysis
TrendNeutral
RSI36.1
Support$149.39
Resistance$164.16
MA 20$158.07
MA 50$158.40
MA 200$152.33
MACDBearish
VolumeIncreasing
Fear & Greed Index88.61
Valuation
Fair Value$69.98
Target Price$174.54
Upside/Downside16.14%
GradeOvervalued
TypeGrowth
Dividend Yield2.00%
Risk Assessment
Beta0.20
Volatility22.44%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskMedium
Liquidity RiskLow
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.