Q1 EPS Estimates for Yum! Brands Lowered by Zacks Research

Key Points

• Yum! Brands' Q1 2026 EPS estimates were lowered by Zacks Research from $1.34 to $1.31, with a full-year EPS forecast set at $5.94.
• Analysts have varied views on Yum! Brands; Redburn Atlantic upgraded its rating to "buy" with a price target increase from $145 to $177, while Wells Fargo lowered its target from $160 to $155.
• Insider transactions revealed that Yum! Brands' Director and COO sold a combined total of over 14,000 shares in August, indicating potential concerns about stock performance.

Yum! Brands, Inc. (NYSE:YUM - Free Report) - Stock analysts at Zacks Research reduced their Q1 2026 earnings estimates for Yum! Brands in a research note issued to investors on Tuesday, August 19th. Zacks Research analyst Team now expects that the restaurant operator will earn $1.31 per share for the quarter, down from their prior estimate of $1.34. The consensus estimate for Yum! Brands' current full-year earnings is $5.94 per share. Zacks Research also issued estimates for Yum! Brands' Q2 2026 earnings at $1.57 EPS, Q3 2026 earnings at $1.59 EPS, Q4 2026 earnings at $2.07 EPS, Q1 2027 earnings at $1.40 EPS, Q2 2027 earnings at $1.69 EPS and FY2027 earnings at $7.28 EPS.

A number of other equities research analysts also recently issued reports on YUM. Evercore ISI lowered their price objective on Yum! Brands from $170.00 to $165.00 and set an "in-line" rating on the stock in a research report on Wednesday, August 6th. Guggenheim restated a "buy" rating and issued a $167.00 target price (up from $165.00) on shares of Yum! Brands in a research note on Monday, August 4th. Barclays reiterated an "overweight" rating and set a $164.00 price target (down previously from $167.00) on shares of Yum! Brands in a research report on Tuesday, August 5th. Sanford C. Bernstein set a $164.00 price objective on Yum! Brands in a report on Tuesday, August 5th. Finally, Morgan Stanley decreased their price objective on shares of Yum! Brands from $153.00 to $151.00 and set an "equal weight" rating on the stock in a research report on Wednesday, August 6th. Ten research analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Hold" and a consensus price target of $161.23.

Yum! Brands Price Performance

NYSE:YUM traded down $0.2870 during trading hours on Thursday, hitting $147.7230. The stock had a trading volume of 1,995,333 shares, compared to its average volume of 2,270,952. The company has a 50 day simple moving average of $146.12 and a two-hundred day simple moving average of $148.16. The firm has a market capitalization of $41.00 billion, a price-to-earnings ratio of 29.14, a P/E/G ratio of 2.31 and a beta of 0.73. Yum! Brands has a one year low of $122.13 and a one year high of $163.30.

Yum! Brands (NYSE:YUM - Get Free Report) last issued its quarterly earnings data on Tuesday, August 5th. The restaurant operator reported $1.44 EPS for the quarter, missing the consensus estimate of $1.46 by ($0.02). Yum! Brands had a net margin of 18.11% and a negative return on equity of 21.01%. The firm had revenue of $1.93 billion for the quarter, compared to analysts' expectations of $1.94 billion. During the same period in the prior year, the firm posted $1.35 EPS. Yum! Brands's revenue was up 9.6% on a year-over-year basis.

Yum! Brands Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 12th. Investors of record on Tuesday, September 2nd will be issued a dividend of $0.71 per share. This represents a $2.84 dividend on an annualized basis and a dividend yield of 1.9%. The ex-dividend date of this dividend is Tuesday, September 2nd. Yum! Brands's dividend payout ratio (DPR) is currently 56.02%.

Insider Transactions at Yum! Brands

In other news, CEO Scott Mezvinsky sold 263 shares of the business's stock in a transaction that occurred on Wednesday, August 6th. The shares were sold at an average price of $139.92, for a total value of $36,798.96. Following the completion of the sale, the chief executive officer directly owned 1,755 shares in the company, valued at approximately $245,559.60. The trade was a 13.03% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Weir Mirian M. Graddick sold 2,038 shares of the stock in a transaction on Thursday, August 14th. The shares were sold at an average price of $145.30, for a total transaction of $296,121.40. Following the transaction, the director directly owned 1,233 shares in the company, valued at approximately $179,154.90. This represents a 62.31% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 29,284 shares of company stock worth $4,310,663. 0.33% of the stock is owned by corporate insiders.

Institutional Trading of Yum! Brands

Several hedge funds have recently added to or reduced their stakes in YUM. Manchester Capital Management LLC boosted its stake in shares of Yum! Brands by 78.0% during the first quarter. Manchester Capital Management LLC now owns 162 shares of the restaurant operator's stock valued at $25,000 after purchasing an additional 71 shares during the period. Greykasell Wealth Strategies Inc. purchased a new stake in Yum! Brands during the 1st quarter valued at $25,000. HFM Investment Advisors LLC purchased a new stake in Yum! Brands during the 1st quarter valued at $25,000. Oliver Lagore Vanvalin Investment Group bought a new stake in Yum! Brands in the 2nd quarter worth $29,000. Finally, Wayfinding Financial LLC purchased a new position in shares of Yum! Brands in the first quarter valued at about $32,000. 82.37% of the stock is owned by institutional investors.

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.