Quantbot Technologies LP Purchases Shares of 20,098 Yum! Brands, Inc. $YUM

Quantbot Technologies LP purchased a new position in Yum! Brands, Inc. (NYSE:YUM) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 20,098 shares of the restaurant operator’s stock, valued at approximately $3,213,000.

A number of other large investors have also modified their holdings of the business. Evolve Private Wealth LLC purchased a new position in shares of Yum! Brands in the 2nd quarter valued at approximately $1,126,000. Varma Mutual Pension Insurance Co purchased a new stake in Yum! Brands during the 2nd quarter worth approximately $12,270,000. Westpac Banking Corp purchased a new stake in Yum! Brands during the 2nd quarter worth approximately $3,266,000. Korea Investment CORP acquired a new position in Yum! Brands during the 2nd quarter valued at approximately $20,651,000. Finally, EP Wealth Advisors LLC acquired a new position in Yum! Brands during the 2nd quarter valued at approximately $2,369,000. Hedge funds and other institutional investors own 82.37% of the company’s stock.

Yum! Brands Trading Up 0.2%

Shares of NYSE YUM opened at $153.31 on Monday. The company has a 50 day simple moving average of $153.43 and a two-hundred day simple moving average of $155.98. The stock has a market cap of $41.84 billion, a price-to-earnings ratio of 19.28, a PEG ratio of 2.48 and a beta of 0.55. Yum! Brands, Inc. has a 12 month low of $137.33 and a 12 month high of $170.14.

Yum! Brands (NYSE:YUM) last released its quarterly earnings data on Thursday, July 30th. The restaurant operator reported $1.62 earnings per share for the quarter, topping analysts’ consensus estimates of $1.58 by $0.04. Yum! Brands had a net margin of 25.42% and a negative return on equity of 24.57%. The firm had revenue of $2.17 billion for the quarter, compared to analyst estimates of $2.18 billion. During the same quarter in the prior year, the business earned $1.44 earnings per share. The business’s quarterly revenue was up 12.2% compared to the same quarter last year. Analysts forecast that Yum! Brands, Inc. will post 6.42 EPS for the current year.

Yum! Brands announced that its board has approved a stock buyback program on Tuesday, June 16th that authorizes the company to repurchase $4.00 billion in outstanding shares. This repurchase authorization authorizes the restaurant operator to reacquire up to 9.4% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s management believes its stock is undervalued.

Insider Buying and Selling

In other news, CEO Sean Tresvant sold 3,000 shares of the business’s stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $154.68, for a total value of $464,040.00. Following the completion of the transaction, the chief executive officer owned 3,140 shares of the company’s stock, valued at $485,695.20. The trade was a 48.86% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, VP David Eric Russell sold 7,961 shares of the company’s stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $153.15, for a total value of $1,219,227.15. Following the completion of the sale, the vice president owned 11,960 shares in the company, valued at $1,831,674. The trade was a 39.96% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 18,549 shares of company stock valued at $2,890,168 in the last 90 days. 0.14% of the stock is currently owned by insiders.

Trending Headlines about Yum! Brands

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

• Positive Sentiment: Yum! Brands outlined a renewed consumer-growth strategy centered on strengthening brand engagement, digital capabilities, loyalty programs and operational execution across KFC, Taco Bell and Pizza Hut. The emphasis on personalized customer experiences and technology could support sales and franchisee performance. Yum! Brands Reveals New Path for Consumer Growth
• Positive Sentiment: The company appointed former HanesBrands CEO Steve Bratspies to its board, effective August 26. His experience managing global consumer brands and improving operations may add expertise as Yum! pursues growth and evaluates its portfolio. Yum! Brands Appoints Steve Bratspies to Board
• Neutral Sentiment: Pizza Hut is using a football-themed branding promotion ahead of the NFL season. The marketing effort could increase near-term visibility, but it comes as Yum! advances the multibillion-dollar sale of the chain, making the strategic implications more important than the promotion itself. Pizza Hut Branding Change
• Negative Sentiment: Shares faced pressure after Yum! announced a new chief executive officer. Although a leadership change could bring fresh momentum, investors may be concerned about execution risk and the direction of the company during the transition. Yum! Brands Slides on Naming New CEO
• Negative Sentiment: An insider reportedly reduced a Yum! Brands equity stake by 28%, while executive share withholding related to restricted-stock-unit vesting was also disclosed. These transactions are not necessarily signals of deteriorating fundamentals, but they can weigh on sentiment. Yum! Brands Insider Sale
• Negative Sentiment: Pomerantz LLP said it is investigating potential claims on behalf of Yum! investors. The announcement does not establish wrongdoing, but it adds legal and reputational uncertainty to the stock. Pomerantz Investor Investigation

Wall Street Analysts Forecast Growth

Several research firms have recently commented on YUM. UBS Group reiterated a “buy” rating on shares of Yum! Brands in a research note on Thursday, June 18th. Evercore reissued an “outperform” rating on shares of Yum! Brands in a research report on Tuesday, June 16th. Royal Bank Of Canada raised their target price on Yum! Brands from $165.00 to $170.00 and gave the stock a “sector perform” rating in a research note on Friday, July 31st. Weiss Ratings downgraded Yum! Brands from a “buy (b)” rating to a “buy (b-)” rating in a research note on Tuesday, July 28th. Finally, Argus cut their price objective on Yum! Brands from $185.00 to $180.00 and set a “buy” rating on the stock in a report on Monday, August 17th. Twelve equities research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $174.65.

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.