With a market cap of $41.1 billion, Yum! Brands, Inc. (YUM) is a global restaurant company that owns and franchises popular fast-food brands, including KFC, Taco Bell, Pizza Hut, and The Habit Burger & Grill. The company generates most of its revenue through franchise royalties, licensing fees, and other franchise-related income, supported by a global network of restaurants.
The company is expected to announce its Q1 2026 results soon. Ahead of this event, analysts predict Yum! Brands to report an adjusted EPS of $1.51, down 4.4% from $1.58 in the year-ago quarter. It has exceeded Wall Street's earnings estimates in three of the last four quarters while missing on another occasion.
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For fiscal 2026, analysts forecast the company to report an adjusted EPS of $6.46, a 6.8% rise from $6.05 in fiscal 2025. Moreover, adjusted EPS is anticipated to grow 7.7% year over year to $6.96 in fiscal 2027.
www.barchart.comShares of Yum! Brands have gained 5% over the past 52 weeks, underperforming both the S&P 500 Index's ($SPX) 15.5% return but outpacing the Consumer Discretionary Select Sector SPDR Fund's (XLY) 3.2% increase over the period.
www.barchart.comOn Sept. 24, On Sept. 24, Yum! Brands announced that its KFC chain opened a new restaurant concept in McKinney, Texas, featuring breakfast, innovative beverages, an expanded menu, and digital ordering in an attempt to strengthen KFC’s U.S. business amid intensifying competition and declining market share.
Analysts' consensus view on YUM stock is cautiously optimistic, with an overall "Moderate Buy" rating. Among 26 analysts covering the stock, opinions include 10 "Strong Buy," one “Moderate Buy,” and 15 “Hold.” The average analyst price target for Yum! Brands is $169.37, indicating a potential upside of 12.5% from the current levels.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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