Jim Cramer breaks down why he's keeping an eye on shares of Yum Brands.
Yum Brands (YUM) came out with quarterly earnings of $1.30 per share, beating the Zacks Consensus Estimate of $1.29 per share. This compares to earnings of $1.15 per share a year ago.
The owner of Pizza Hut, KFC and Taco Bell locations posted a profit of $253 million, or 90 cents a share, for its three months ended March 31, compared with $314 million, or $1.10 a share, a year earlier.
Yum Brands, the parent of KFC, Pizza Hut and Taco Bell, posted mixed first-quarter results, as earnings beat Wall Street estimates but revenue missed. Pizza Hut's same-store sales fell more than expected.
YUM's first-quarter 2025 results are likely to gain from strong same-store sales growth, expansion of units and a stellar performance from KFC.
Beyond analysts' top -and-bottom-line estimates for Yum (YUM), evaluate projections for some of its key metrics to gain a better insight into how the business might have performed for the quarter ended March 2025.
Yum (YUM) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Yum (YUM) could produce exceptional returns because of its solid growth attributes.
YUM's focus on digital transformation, product innovation and aggressive expansion positions it for growth. However, an uncertain macroeconomic environment is a concern.
KFC is moving out of Kentucky. Yum Brands said that it would shift its brands into offices in Texas and California.
KFC is moving its U.S. headquarters from Louisville to Plano, Texas. Parent company Yum Brands is also calling remote workers back to the office.
Taco Bell's strong performance in FY 2024, driven by same-store sales and innovation, contrasts with KFC's struggles in the U.S. but gains internationally. Pizza Hut remains the underdog in the 'Battle of Pizzas,' with weak same-store sales and top-line growth, but easier comparisons ahead. Valuation models suggest Yum! Brands is fairly valued; without significant improvement in KFC's U.S. performance, the stock is unlikely to soar.