Yum! Brands, Inc. $YUM Shares Sold by Markel Group Inc.

Key Points

• Markel Group cut its Yum! Brands stake by 42.1% in the third quarter, selling 103,154 shares; it retained 142,059 shares valued at about $19.4 million.
• Yum! reported quarterly EPS of $1.56, topping the $1.51 consensus, while revenue rose 3.8% year over year to $2.05 billion. Taco Bell faced pressure, with U.S. same-store sales down 4% amid a cyclospora outbreak.
• Analysts’ consensus rating was “Moderate Buy”, with an average price target of $171.78; the company’s annualized dividend was $3.00 per share, a 1.9% yield.

Markel Group Inc. trimmed its position in shares of Yum! Brands, Inc. (NYSE:YUM - Free Report) by 42.1% during the 3rd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 142,059 shares of the restaurant operator's stock after selling 103,154 shares during the period. Markel Group Inc. owned about 0.05% of Yum! Brands worth $19,368,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also made changes to their positions in the company. Provenance Wealth Advisors LLC lifted its holdings in Yum! Brands by 43,060.0% during the 3rd quarter. Provenance Wealth Advisors LLC now owns 2,158 shares of the restaurant operator's stock valued at $294,000 after buying an additional 2,153 shares in the last quarter. Integrity Alliance LLC. increased its position in Yum! Brands by 3.7% during the 3rd quarter. Integrity Alliance LLC. now owns 2,207 shares of the restaurant operator's stock valued at $301,000 after purchasing an additional 79 shares during the period. Next Level Wealth Planning LLC bought a new position in shares of Yum! Brands in the 3rd quarter worth $44,000. Mirae Asset Global Investments Co. Ltd. bought a new position in shares of Yum! Brands during the 3rd quarter worth approximately $12,844,000. Finally, ProShare Advisors LLC grew its stake in Yum! Brands by 0.3% during the 3rd quarter. ProShare Advisors LLC now owns 41,982 shares of the restaurant operator's stock worth $5,724,000 after buying an additional 111 shares during the last quarter. 82.37% of the stock is currently owned by institutional investors.

Insider Activity

In other news, CEO Scott Mezvinsky sold 268 shares of the firm's stock in a transaction that occurred on Tuesday, September 1st. The stock was sold at an average price of $153.64, for a total value of $41,175.52. Following the transaction, the chief executive officer owned 482 shares in the company, valued at $74,054.48. This trade represents a 35.73% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Tracy L. Skeans sold 3,494 shares of Yum! Brands stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $158.00, for a total value of $552,052.00. Following the completion of the sale, the chief operating officer directly owned 3 shares in the company, valued at $474. This represents a 99.91% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 4,288 shares of company stock worth $666,149 over the last quarter. 0.14% of the stock is currently owned by corporate insiders.

Yum! Brands Price Performance

Shares of YUM stock opened at $156.87 on Wednesday. The company has a market cap of $42.81 billion, a price-to-earnings ratio of 19.73, a PEG ratio of 2.42 and a beta of 0.53. Yum! Brands, Inc. has a 1-year low of $134.26 and a 1-year high of $170.14. The stock has a 50 day simple moving average of $146.29 and a 200-day simple moving average of $153.48.

Yum! Brands (NYSE:YUM - Get Free Report) last released its earnings results on Tuesday, November 3rd. The restaurant operator reported $1.56 EPS for the quarter, topping analysts' consensus estimates of $1.51 by $0.05. Yum! Brands had a net margin of 25.42% and a negative return on equity of 24.57%. The business had revenue of $2.05 billion during the quarter, compared to analysts' expectations of $2.05 billion. During the same quarter in the previous year, the company earned $1.58 earnings per share. The company's quarterly revenue was up 3.8% on a year-over-year basis. Analysts anticipate that Yum! Brands, Inc. will post 6.64 earnings per share for the current fiscal year.

Yum! Brands Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, September 18th. Shareholders of record on Wednesday, September 9th were issued a dividend of $0.75 per share. The ex-dividend date of this dividend was Wednesday, September 9th. This represents a $3.00 dividend on an annualized basis and a dividend yield of 1.9%. Yum! Brands's dividend payout ratio is presently 37.74%.

Yum! Brands News Roundup

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

• Positive Sentiment: Adjusted earnings were $1.56 per share, above analyst estimates. KFC’s global strength helped offset pressure at Taco Bell, while revenue rose 3.8% year over year to $2.05 billion. Article: YUM Stock Up on Q3 Earnings Beat, Revenues Miss on Taco Bell Weakness
• Positive Sentiment: Management said Taco Bell sales improved after the cyclospora-related disruption, with the brand reportedly outperforming the broader quick-service restaurant industry since late September. That recovery could ease a major near-term concern if it continues. Article: Yum Says Taco Bell Sales Are Improving After Cyclospora Outbreak Fallout
• Positive Sentiment: TD Cowen raised its price target to $180 from $177 and maintained a Buy rating, signaling continued analyst confidence in the shares. Article: TD Cowen stock recommendations
• Neutral Sentiment: Reported net income included a substantial gain related to the Pizza Hut divestiture. This lifts headline profit but is a one-time item, so investors may focus more on ongoing operating performance. Article: Yum! Brands reports third-quarter results and Pizza Hut divestiture gain
• Negative Sentiment: Taco Bell’s U.S. same-store sales fell 4% in Q3 as a cyclospora outbreak linked to lettuce hurt traffic. Revenue of $2.05 billion also came in below some analyst estimates, tempering the impact of the EPS beat. Article: Taco Bell sales fall more than expected on cyclosporiasis outbreak hit

Analyst Ratings Changes

Several equities analysts recently commented on YUM shares. Robert W. Baird decreased their price objective on shares of Yum! Brands from $165.00 to $158.00 and set an "outperform" rating for the company in a research report on Friday, October 2nd. Royal Bank Of Canada boosted their price objective on shares of Yum! Brands from $165.00 to $170.00 and gave the company a "sector perform" rating in a report on Friday, July 31st. Argus downgraded Yum! Brands from a "buy" rating to a "hold" rating in a research report on Thursday, September 24th. Gordon Haskett lowered their price target on Yum! Brands from $182.00 to $180.00 and set a "buy" rating for the company in a research report on Friday, July 31st. Finally, Deutsche Bank Aktiengesellschaft reiterated a "hold" rating and set a $167.00 price target (down from $174.00) on shares of Yum! Brands in a research note on Wednesday, October 21st. Fourteen equities research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $171.78.

Yum! Brands Company Profile

Yum! Brands, Inc is a global restaurant company that operates, franchises and licenses quick-service and fast-casual restaurants. Its principal brands are KFC, which specializes in fried and other chicken products; Taco Bell, which offers Mexican-inspired food; Pizza Hut, which sells pizzas and related menu items; and The Habit Burger Grill, a fast-casual burger restaurant chain.

The company's business is primarily franchise-based, with restaurants operated by independent franchisees and licensees alongside company-operated locations.

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