Q3 EPS Estimates for Yum! Brands Reduced by Zacks Research

Key Points

• Zacks Research has lowered its Q3 2025 earnings per share estimate for Yum! Brands from $1.50 to $1.46, maintaining a full-year earnings forecast of $5.94 per share.
• The company's previous quarterly earnings were reported at $1.44 per share, missing expectations, and revenue for the quarter was $1.93 billion, up 9.6% year-over-year.
• Yum! Brands announced a $0.71 quarterly dividend per share, resulting in an annualized dividend of $2.84 with a yield of 1.9%.

Yum! Brands, Inc. (NYSE:YUM - Free Report) - Equities researchers at Zacks Research lowered their Q3 2025 earnings per share estimates for Yum! Brands in a research report issued on Tuesday, August 19th. Zacks Research analyst Team now anticipates that the restaurant operator will post earnings of $1.46 per share for the quarter, down from their prior estimate of $1.50. The consensus estimate for Yum! Brands' current full-year earnings is $5.94 per share. Zacks Research also issued estimates for Yum! Brands' FY2025 earnings at $5.94 EPS and FY2026 earnings at $6.54 EPS.

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

A number of other equities research analysts have also recently commented on YUM. The Goldman Sachs Group raised Yum! Brands from a "neutral" rating to a "buy" rating and set a $167.00 price objective for the company in a research note on Wednesday, June 4th. Redburn Atlantic raised Yum! Brands from a "neutral" rating to a "buy" rating and raised their price objective for the company from $145.00 to $177.00 in a research note on Tuesday, June 10th. Oppenheimer reissued an "outperform" rating and issued a $185.00 price objective on shares of Yum! Brands in a research note on Monday, April 28th. Sanford C. Bernstein set a $164.00 target price on Yum! Brands in a research report on Tuesday, August 5th. Finally, Evercore ISI cut their target price 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. Ten investment 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 stock currently has an average rating of "Hold" and a consensus price target of $161.23.

Yum! Brands Trading Down 0.2%

YUM stock traded down $0.2870 during mid-day trading on Friday, reaching $147.7230. The company's stock had a trading volume of 1,995,333 shares, compared to its average volume of 2,313,092. The company has a market cap of $41.00 billion, a price-to-earnings ratio of 29.14, a price-to-earnings-growth ratio of 2.31 and a beta of 0.73. The business's 50 day moving average price is $146.12 and its 200 day moving average price is $148.19. Yum! Brands has a 12 month low of $122.13 and a 12 month high of $163.30.

Yum! Brands Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 12th. Investors of record on Tuesday, September 2nd will be paid 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 is Tuesday, September 2nd. Yum! Brands's payout ratio is presently 56.02%.

Insider Buying and Selling

In related news, CEO Scott Mezvinsky sold 263 shares of the business's stock in a transaction on Wednesday, August 6th. The stock was sold at an average price of $139.92, for a total transaction of $36,798.96. Following 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 transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, COO Tracy L. Skeans sold 12,220 shares of the business's stock in a transaction on Friday, August 15th. The shares were sold at an average price of $148.24, for a total value of $1,811,492.80. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 29,284 shares of company stock valued at $4,310,663. 0.33% of the stock is owned by company insiders.

Hedge Funds Weigh In On Yum! Brands

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