Yum! Brands (NYSE:YUM) CEO Scott Mezvinsky Sells 241 Shares of Company Stock

Key Points

• CEO Scott Mezvinsky sold 241 Yum! Brands shares at an average price of $136.89, worth $32,990.49, reducing his holdings by 33.33% to 482 shares. The transaction was conducted under a pre-arranged Rule 10b5-1 trading plan.
• Yum! Brands shares traded near $137, close to their 52-week low of $134.26. The company recently exceeded quarterly EPS expectations, reporting $1.62 versus the $1.58 consensus, while revenue rose 12.2% year over year.
• The company maintains a quarterly dividend of $0.75, equivalent to a 2.2% yield, and has authorized a $4 billion share buyback covering up to 9.4% of outstanding shares. Analysts retain a “Moderate Buy” consensus with an average price target of $174.11.

Yum! Brands, Inc. (NYSE:YUM - Get Free Report) CEO Scott Mezvinsky sold 241 shares of the stock in a transaction that occurred on Thursday, October 1st. The stock was sold at an average price of $136.89, for a total transaction of $32,990.49. Following the completion of the transaction, the chief executive officer owned 482 shares in the company, valued at $65,980.98. This trade represents a 33.33% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Scott Mezvinsky also recently made the following trade(s):

• On Tuesday, September 1st, Scott Mezvinsky sold 268 shares of Yum! Brands stock. The shares were sold at an average price of $153.64, for a total transaction of $41,175.52.
• On Monday, August 3rd, Scott Mezvinsky sold 268 shares of Yum! Brands stock. The stock was sold at an average price of $153.15, for a total transaction of $41,044.20.

Yum! Brands Stock Performance

Shares of Yum! Brands stock traded up $0.67 on Thursday, hitting $137.01. 759,936 shares of the company's stock were exchanged, compared to its average volume of 2,144,896. Yum! Brands, Inc. has a 1 year low of $134.26 and a 1 year high of $170.14. The company has a 50-day simple moving average of $147.26 and a 200-day simple moving average of $152.84. The stock has a market capitalization of $37.39 billion, a PE ratio of 17.20, a PEG ratio of 2.20 and a beta of 0.55.

Yum! Brands (NYSE:YUM - Get Free Report) last posted its quarterly earnings data on Thursday, July 30th. The restaurant operator reported $1.62 EPS for the quarter, topping the consensus estimate of $1.58 by $0.04. The firm had revenue of $2.17 billion during the quarter, compared to analyst estimates of $2.18 billion. Yum! Brands had a negative return on equity of 24.57% and a net margin of 25.42%.Yum! Brands's revenue was up 12.2% on a year-over-year basis. During the same period in the prior year, the business posted $1.44 EPS. On average, analysts expect that Yum! Brands, Inc. will post 6.47 EPS for the current fiscal year.

Yum! Brands Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, September 18th. Stockholders of record on Wednesday, September 9th were paid a $0.75 dividend. The ex-dividend date of this dividend was Wednesday, September 9th. This represents a $3.00 annualized dividend and a dividend yield of 2.2%. Yum! Brands's dividend payout ratio (DPR) is 37.74%.

Yum! Brands declared that its board has authorized a share buyback plan on Tuesday, June 16th that authorizes the company to buyback $4.00 billion in outstanding shares. This buyback authorization authorizes the restaurant operator to purchase up to 9.4% of its shares through open market purchases. Shares buyback plans are generally an indication that the company's leadership believes its shares are undervalued.

Wall Street Analyst Weigh In

YUM has been the topic of a number of recent analyst reports. TD Cowen restated a "buy" rating and set a $180.00 target price on shares of Yum! Brands in a research note on Tuesday, June 16th. UBS Group reissued a "buy" rating on shares of Yum! Brands in a research note on Thursday, June 18th. Seaport Research Partners started coverage on shares of Yum! Brands in a research report on Wednesday, September 16th. They set a "buy" rating and a $162.00 price objective on the stock. JPMorgan Chase & Co. lowered their target price on shares of Yum! Brands from $160.00 to $150.00 and set an "overweight" rating on the stock in a research note on Tuesday. Finally, Robert W. Baird dropped their target price on shares of Yum! Brands from $174.00 to $165.00 and set an "outperform" rating for the company in a report on Wednesday, September 16th. Thirteen research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, Yum! Brands has an average rating of "Moderate Buy" and an average price target of $174.11.

Institutional Investors Weigh In On Yum! Brands

Institutional investors have recently added to or reduced their stakes in the stock. Steph & Co. grew its stake in Yum! Brands by 107.5% during the first quarter. Steph & Co. now owns 166 shares of the restaurant operator's stock valued at $26,000 after acquiring an additional 86 shares in the last quarter. Edmond DE Rothschild Holding S.A. bought a new position in shares of Yum! Brands during the 2nd quarter valued at about $27,000. Kelleher Financial Advisors purchased a new position in shares of Yum! Brands during the second quarter valued at about $29,000. MV Capital Management Inc. bought a new stake in shares of Yum! Brands in the fourth quarter worth about $28,000. Finally, Manning & Napier Advisors LLC bought a new stake in shares of Yum! Brands in the first quarter worth about $28,000. 82.37% of the stock is owned by hedge funds and other institutional investors.

About Yum! Brands

Yum! Brands, Inc is a global restaurant company that develops, operates, and franchises quick-service restaurants. Its portfolio includes KFC, which specializes in fried and cooked chicken; Taco Bell, known for Mexican-inspired food; Pizza Hut, which offers pizza and related products; and The Habit Burger Grill, a fast-casual chain focused on chargrilled burgers, sandwiches, salads, and shakes.

The company primarily uses a franchised business model, working with franchisees and licensees to operate restaurants in more than 150 countries and territories.

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