Yum! Brands (YUM) Competitors

Starbucks (NASDAQ:SBUX) and Yum! Brands (NYSE:YUM) are both large-cap retail/wholesale companies, but which is the better stock? We will contrast the two companies based on the strength of their community ranking, valuation, institutional ownership, risk, earnings, analyst recommendations, dividends, media sentiment and profitability.

Which has more volatility and risk, SBUX or YUM?

Starbucks has a beta of 1, indicating that its share price has a similar volatility profile to the S&P 500.Comparatively, Yum! Brands has a beta of 0.74, indicating that its share price is 26% less volatile than the S&P 500.

Does the MarketBeat Community believe in SBUX or YUM?

Starbucks received 1037 more outperform votes than Yum! Brands when rated by MarketBeat users. Likewise, 76.04% of users gave Starbucks an outperform vote while only 64.37% of users gave Yum! Brands an outperform vote.

Company	Underperform	Outperform
Starbucks	Outperform Votes 2123 76.04%	Underperform Votes 669 23.96%
Yum! Brands	Outperform Votes 1086 64.37%	Underperform Votes 601 35.63%

Which has better valuation & earnings, SBUX or YUM?

Starbucks has higher revenue and earnings than Yum! Brands. Yum! Brands is trading at a lower price-to-earnings ratio than Starbucks, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Starbucks	$36.35B	2.83	$3.76B	$2.76	32.85
Yum! Brands	$7.74B	5.14	$1.49B	$5.02	28.51

Do analysts prefer SBUX or YUM?

Starbucks currently has a consensus target price of $97.92, suggesting a potential upside of 8.00%. Yum! Brands has a consensus target price of $157.30, suggesting a potential upside of 9.91%. Given Yum! Brands' higher probable upside, analysts clearly believe Yum! Brands is more favorable than Starbucks.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Starbucks	2 Sell rating(s)	13 Hold rating(s)	13 Buy rating(s)	0 Strong Buy rating(s)	2.39
Yum! Brands	0 Sell rating(s)	15 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.32

Is SBUX or YUM a better dividend stock?

Starbucks pays an annual dividend of $2.44 per share and has a dividend yield of 2.7%. Yum! Brands pays an annual dividend of $2.84 per share and has a dividend yield of 2.0%. Starbucks pays out 88.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Yum! Brands pays out 56.6% of its earnings in the form of a dividend. Starbucks has increased its dividend for 15 consecutive years and Yum! Brands has increased its dividend for 8 consecutive years. Starbucks is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Does the media refer more to SBUX or YUM?

In the previous week, Starbucks had 22 more articles in the media than Yum! Brands. MarketBeat recorded 47 mentions for Starbucks and 25 mentions for Yum! Brands. Starbucks' average media sentiment score of 0.89 beat Yum! Brands' score of 0.79 indicating that Starbucks is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Starbucks	22 Very Positive mention(s)	6 Positive mention(s)	14 Neutral mention(s)	4 Negative mention(s)	1 Very Negative mention(s)	Positive
Yum! Brands	9 Very Positive mention(s)	6 Positive mention(s)	6 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Do insiders and institutionals have more ownership in SBUX or YUM?

72.3% of Starbucks shares are owned by institutional investors. Comparatively, 82.4% of Yum! Brands shares are owned by institutional investors. 0.1% of Starbucks shares are owned by company insiders. Comparatively, 0.3% of Yum! Brands shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Is SBUX or YUM more profitable?

Yum! Brands has a net margin of 19.68% compared to Starbucks' net margin of 9.73%. Yum! Brands' return on equity of -20.33% beat Starbucks' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Starbucks	9.73%	-44.97%	11.47%
Yum! Brands	19.68%	-20.33%	24.19%

Summary

Starbucks beats Yum! Brands on 12 of the 21 factors compared between the two stocks.