YUM BRANDS INC (YUM) Factsheet
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YUM BRANDS INC (YUM) Stock Analysis
Analysis from 10-Q filed 2026-08-05. Data as of Q2 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 48.5%. FCF margin 19.3%. D/E -2.1x. Source: 10-Q filed 2026-08-05.
| Metric | Value | Context |
|---|---|---|
| ROIC | 48.5% | Above industry average |
| FCF Margin | 19.3% | Strong cash generation |
| Debt/Equity | -2.1x | Conservative leverage |
ROIC 48.5% — Top 5% of sector peers. FCF margin 19.3% — Top 5%.
Explore YUM BRANDS INC: Earnings History | Filings
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for YUM: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: YUM BRANDS INC earns 48.5% ROIC, Top 5% in Consumer Discretionary
ROIC TTM 48.5%, sector median 5.8%, Top 5%. DuPont: NOPAT margin 31.3% × asset turnover 1.1x. Gross margin 68.1%. Operating margin 31.0%. Source: 10-Q filed 2026-08-05.
| Metric | YUM | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 48.5% | Excellent | Above sector median of 5.8% |
| Return on Equity (ROE) | -30.1% | Red flag | Moderate equity returns |
| Gross Margin | 68.1% | Excellent | Strong pricing power |
| Operating Margin | 31.0% | Excellent | Efficient operations |
Cash Flow: YUM BRANDS INC generates $1.7B FCF at 19.3% margin, positive NaN/8 quarters
FCF TTM $1.7B. FCF margin 19.3%, Top 5%. OCF/Net income 0.9x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2026-08-05.
| Metric | YUM | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 19.3% | Good | Excellent cash conversion |
| Free Cash Flow (TTM) | $1.7B | Good | Positive cash generation |
| OCF/Net Income | 0.9x | Good | Potential accrual concerns |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: YUM BRANDS INC at -2.1x leverage, 5.3x interest coverage
Debt/Equity -2.1x. Total debt $15.1B, cash & investments $674.0M. Interest coverage 5.3x. Source: 10-Q filed 2026-08-05.
| Metric | YUM | Rating | Context |
|---|---|---|---|
| Debt to Equity | -2.1x | Excellent | Conservative capital structure |
| Net Cash Position | $-14.4B | Warning | Net debt position |
| Interest Coverage | 5.3x | Good | Comfortable debt service |
Valuation: YUM BRANDS INC trades at 17.1x earnings
P/E 17.1x. EV/Sales 5.9x. FCF yield 4.5%. Dividend yield 2.1%. Source: 10-Q filed 2026-08-05.
| Metric | YUM | Rating | Context |
|---|---|---|---|
| P/E Ratio | 17.1x | Adequate | Reasonable valuation |
| EV/Sales | 5.9x | Adequate | Growth premium priced in |
| FCF Yield | 4.5% | Good | Lower cash yield |
| Dividend Yield | 2.1% | Adequate | Growth focus over income |
Capital Allocation: YUM BRANDS INC returns 4.6% shareholder yield, reducing shares 1.7% YoY
Total shareholder yield 4.6% (div 2.1% + buyback 2.4%). Share count -1.7% YoY. Capital returned $1.7B TTM. Source: 10-Q filed 2026-08-05.
| Metric | YUM | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 4.6% | Good | Dividend + buyback yield combined |
| Buyback Yield | 2.4% | Adequate | Active share repurchases |
| Share Count Change (YoY) | -1.7% | Good | Net share reduction (accretive) |
| Total Capital Returned (TTM) | $1.7B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 48.5% | Top 5% | 8.4x above |
| Free Cash Flow Margin | 19.3% | Top 5% | 5.5x above |
| Gross Margin | 68.1% | Top 25% | 1.8x above |
| Operating Margin | 31.0% | Top 5% | 7.6x above |
| Return on Equity (ROE) | -30.1% | Top 5% | -3.0x below |
| P/E Ratio | 17.1x | N/A | - |
Financial Scorecard
| Metric | YUM | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 48.5% | Excellent | Top 5% of sector (median: 5.8%) |
| Free Cash Flow Margin | 19.3% | Good | Top 5% of sector (median: 3.5%) |
| Gross Margin | 68.1% | Excellent | Top 25% of sector (median: 38.6%) |
| Debt to Equity Ratio | -212.4% | Excellent | Conservative capital structure |
| P/E Ratio (Price-to-Earnings) | 17.1x | Adequate | Fair value |
| Free Cash Flow Yield | 4.5% | Adequate | Moderate yield |
Frequently Asked Questions
Q: What is YUM BRANDS INC's Return on Invested Capital (ROIC)?
YUM BRANDS INC (YUM) has a trailing twelve-month Return on Invested Capital (ROIC) of 48.5%. The 8-quarter median ROIC is 44.5% with a declining trend. Sector median 5.8%. Source: 10-Q filed 2026-08-05.
Q: What is YUM BRANDS INC's Free Cash Flow Margin?
YUM BRANDS INC (YUM) has a free cash flow margin of 19.3%, generating $1.7 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2026-08-05.
Q: What is YUM BRANDS INC's P/E ratio and how does it compare to peers?
YUM BRANDS INC (YUM) trades at a P/E ratio of 17.1x, which is above the sector median of N/A. EV/Sales 5.9x. FCF yield 4.5%. Source: 10-Q filed 2026-08-05.
Q: Does YUM BRANDS INC pay a dividend?
YUM BRANDS INC (YUM) currently pays a dividend yield of 2.1%. Total shareholder yield (dividend + buybacks) 4.6%. Source: 10-Q filed 2026-08-05.
Q: What is YUM BRANDS INC's revenue and earnings growth?
YUM BRANDS INC (YUM) grew revenue by 10.3% year-over-year. EPS +56.9% YoY. Source: 10-Q filed 2026-08-05.
Q: Is YUM BRANDS INC buying back stock?
YUM BRANDS INC (YUM) repurchased $888.0 million of stock over the trailing twelve months. This represents a buyback yield of 2.4%. Share count -1.7% YoY. Source: 10-Q filed 2026-08-05.
Q: How does YUM BRANDS INC compare to competitors in Consumer Discretionary?
Compared to other companies in Consumer Discretionary, YUM BRANDS INC (YUM) shows: ROIC 48.5%, sector median 5.8% (Top 5%). FCF margin 19.3%, sector median 3.5% (Top 5%). Gross margin 68.1%, 29.5pp above sector median. These rankings are based on MetricDuck's analysis of all Consumer Discretionary companies with available SEC filings.
Q: What warning signs should I watch for with YUM BRANDS INC?
Quantitative warning flags for YUM BRANDS INC (YUM): 1) ROIC declining -4.9% over 8 quarters. Source: 10-Q filed 2026-08-05.
Data Source: Data sourced from 10-Q filed 2026-08-05. TTM metrics as of Q2 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.