Magellan Asset Management Ltd Has $267.15 Million Position in Yum! Brands, Inc. (NYSE:YUM)

Key Points

• Magellan Asset Management Ltd has reduced its stake in Yum! Brands by 17.8% to approximately $267.15 million, making it the 10th largest holding in their portfolio.
• Yum! Brands reported a quarterly EPS of $1.44, missing analysts' expectations by $0.02, while revenue grew 9.6% year-over-year to $1.93 billion.
• The company's stock is currently rated as a "Hold" by thirteen analysts, with an average target price of $161.23.

Magellan Asset Management Ltd decreased its holdings in Yum! Brands, Inc. (NYSE:YUM - Free Report) by 17.8% in the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 1,697,709 shares of the restaurant operator's stock after selling 367,029 shares during the period. Yum! Brands comprises approximately 3.2% of Magellan Asset Management Ltd's investment portfolio, making the stock its 10th biggest holding. Magellan Asset Management Ltd owned about 0.61% of Yum! Brands worth $267,151,000 as of its most recent SEC filing.

A number of other large investors also recently bought and sold shares of the business. Wealth Enhancement Advisory Services LLC boosted its holdings in Yum! Brands by 151.4% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 156,690 shares of the restaurant operator's stock valued at $24,657,000 after purchasing an additional 94,355 shares during the last quarter. CWA Asset Management Group LLC acquired a new position in shares of Yum! Brands during the 1st quarter worth about $270,000. Sowell Financial Services LLC purchased a new stake in Yum! Brands during the 1st quarter valued at about $939,000. First National Bank Sioux Falls purchased a new stake in Yum! Brands during the 1st quarter valued at about $283,000. Finally, Principal Financial Group Inc. grew its stake in shares of Yum! Brands by 1.9% in the 1st quarter. Principal Financial Group Inc. now owns 353,103 shares of the restaurant operator's stock valued at $55,564,000 after buying an additional 6,673 shares during the period. Institutional investors own 82.37% of the company's stock.

Wall Street Analysts Forecast Growth

YUM has been the subject of a number of research analyst reports. TD Securities reaffirmed a "hold" rating and set a $158.00 price objective on shares of Yum! Brands in a research report on Wednesday, April 30th. Piper Sandler increased their target price on shares of Yum! Brands from $150.00 to $155.00 and gave the stock a "neutral" rating in a report on Thursday, May 1st. Morgan Stanley reduced their target price on shares of Yum! Brands from $153.00 to $151.00 and set an "equal weight" rating on the stock in a report on Wednesday. TD Cowen reduced their price objective on shares of Yum! Brands from $158.00 to $156.00 and set a "hold" rating on the stock in a report on Tuesday, August 5th. Finally, Wells Fargo & Company reduced their price objective on shares of Yum! Brands from $160.00 to $155.00 and set an "equal weight" rating on the stock in a report on Wednesday. Thirteen analysts have rated the stock with a hold rating and ten have given a buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average target price of $161.23.

Yum! Brands Stock Down 0.9%

YUM opened at $141.34 on Friday. Yum! Brands, Inc. has a 52-week low of $122.13 and a 52-week high of $163.30. The company has a 50 day moving average of $145.49 and a two-hundred day moving average of $146.98. The company has a market cap of $39.29 billion, a P/E ratio of 27.88, a P/E/G ratio of 2.19 and a beta of 0.73.

Yum! Brands (NYSE:YUM - Get Free Report) last posted its earnings results on Tuesday, August 5th. The restaurant operator reported $1.44 EPS for the quarter, missing analysts' consensus estimates of $1.46 by ($0.02). Yum! Brands had a negative return on equity of 21.01% and a net margin of 18.11%. The firm had revenue of $1.93 billion for the quarter, compared to analyst estimates of $1.94 billion. During the same period in the previous year, the firm posted $1.35 earnings per share. The company's revenue for the quarter was up 9.6% on a year-over-year basis. Research analysts anticipate that Yum! Brands, Inc. will post 5.94 earnings per share for the current year.

Yum! Brands Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, June 6th. Shareholders of record on Tuesday, May 27th were issued a dividend of $0.71 per share. This represents a $2.84 dividend on an annualized basis and a dividend yield of 2.0%. The ex-dividend date of this dividend was Tuesday, May 27th. Yum! Brands's dividend payout ratio is 56.02%.

Insiders Place Their Bets

In other news, CEO Scott Mezvinsky sold 263 shares of the company's stock in a transaction dated Wednesday, August 6th. The shares were sold at an average price of $139.92, for a total transaction of $36,798.96. Following the completion of the transaction, the chief executive officer owned 1,755 shares in the company, valued at approximately $245,559.60. This represents a 13.03% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO David W. Gibbs sold 7,117 shares of the stock in a transaction dated Tuesday, July 15th. The shares were sold at an average price of $146.60, for a total transaction of $1,043,352.20. Following the completion of the transaction, the chief executive officer owned 102,893 shares of the company's stock, valued at $15,084,113.80. This represents a 6.47% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 14,983 shares of company stock worth $2,187,764 over the last three months. 0.33% of the stock is owned by corporate insiders.

Yum! Brands Company Profile

Yum! Brands, Inc, together with its subsidiaries, develops, operates, and franchises quick service restaurants worldwide. The company operates through the KFC Division, the Taco Bell Division, the Pizza Hut Division, and the Habit Burger Grill Division segments. It also operates restaurants under the KFC, Pizza Hut, Taco Bell, and The Habit Burger Grill brands, which specialize in chicken, pizza, made-to-order chargrilled burgers, sandwiches, Mexican-style food categories, and other food products.

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