Stock AnalizYum Brands Inc. YUM
Restaurants · data as of November 13, 2026
Yum Brands Inc. (YUM) is a consumer discretionary company listed in the US with a market value of about $43.3B. In the twelve months to September 30, 2026 it had revenue of $8.8B and net income of $3.4B, a net margin of 39.1%.
Its overall Stock Analiz score is 2.8 out of 5 (average). The strongest part is shareholder returns (5/5); the weakest is future growth (1/5).
Key numbers: a P/E of 12.9, a price to free cash flow of 26.7, 5-year revenue growth of 8% a year, a 5-year average ROIC of 53%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 50% below the current price.
Score: 2.8 / 5
Checks passed
- P/E below 25
- P/E below the industry median
- PEG below 1.5
- 3-year free cash flow growth above 10% a year
- 5-year EPS growth above 10% a year
- 5-year average ROIC above 12%
- Profitable 5 years in a row
- Positive free cash flow
Checks not passed
- P/FCF below 20
- Price below intrinsic value (DCF, moderate assumptions)
- Revenue growth above 10% last year
- 3-year revenue growth above 10% a year
- Profit margin improving
- Strong R&D investment or growth above 20%
- 5-year revenue growth above 8% a year
- ROE above 15%
Valuation
Growth and quality
Financials, last 10 years
| Fiscal year | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $8.8B | $8.2B | $7.5B | $7.1B | $6.8B | $6.6B | $5.7B | $5.6B | $5.7B | $5.9B | $6.4B |
| Net income | $3.4B | $1.6B | $1.5B | $1.6B | $1.3B | $1.6B | $904M | $1.3B | $1.5B | $1.3B | $1.6B |
| Free cash flow | $1.6B | $1.6B | $1.4B | $1.3B | $1.1B | $1.5B | $1.1B | $1.1B | $942M | $712M | — |
| EPS (diluted) | $12.46 | $5.55 | $5.21 | $5.60 | $4.57 | $5.22 | $2.94 | $4.13 | $4.69 | $3.77 | $4.11 |
| Net margin | 39.1% | 19.0% | 19.7% | 22.6% | 19.4% | 23.9% | 16.0% | 23.1% | 27.1% | 22.8% | 25.9% |
| ROIC | — | 32.6% | 48.9% | 59.7% | 56.9% | 69.3% | 46.7% | 55.7% | 88.7% | 46.7% | 37.9% |
From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.
What analysts expect
The average 12-month price target from 22 analysts is $175.32, 9% above the current price; targets range from $153.00 to $200.00; the consensus rating is “Buy”; expected EPS is $6.39 for the fiscal year ending December 31, 2026.
Frequently asked questions
What is Yum Brands’s P/E ratio?
About 12.9, based on the last twelve months of diluted earnings per share (forward P/E about 24.8).
Is Yum Brands stock undervalued?
Our DCF model with moderate assumptions puts its intrinsic value about 50% below the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.
Does Yum Brands pay a dividend?
Yes. The dividend yield is about 1.87%, and it has paid dividends for 9 years in our data.
Is Yum Brands a good stock to buy?
We do not give buy or sell advice. Yum Brands scores 2.8 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.
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Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.