Yum! Brands (NYSE:YUM) Posts Quarterly Earnings Results, Misses Expectations By $0.05 EPS

04 Feb 2026, 09:33 by Teresa Graham · The Cerbat Gem

Yum! Brands (NYSE:YUM – Get Free Report) released its earnings results on Wednesday. The restaurant operator reported $1.73 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.78 by ($0.05), Briefing.com reports. Yum! Brands had a negative return on equity of 21.79% and a net margin of 17.95%.Yum! Brands’s quarterly revenue was up 6.4% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.61 EPS.

Yum! Brands Price Performance

Shares of NYSE YUM opened at $156.88 on Wednesday. Yum! Brands has a 1-year low of $129.55 and a 1-year high of $163.30. The company has a market cap of $43.56 billion, a PE ratio of 30.58, a P/E/G ratio of 2.15 and a beta of 0.66. The stock has a fifty day moving average price of $152.74 and a 200 day moving average price of $148.84.

Yum! Brands Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, December 12th. Shareholders of record on Tuesday, December 2nd were paid a $0.71 dividend. This represents a $2.84 annualized dividend and a dividend yield of 1.8%. The ex-dividend date was Tuesday, December 2nd. Yum! Brands’s dividend payout ratio (DPR) is 55.36%.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on the stock. Gordon Haskett raised shares of Yum! Brands from a “hold” rating to a “buy” rating in a research note on Thursday, January 8th. The Goldman Sachs Group restated a “buy” rating and set a $177.00 price target on shares of Yum! Brands in a report on Wednesday, November 5th. Citigroup raised their price objective on shares of Yum! Brands from $164.00 to $170.00 and gave the company a “neutral” rating in a report on Thursday, January 22nd. Piper Sandler reiterated a “neutral” rating on shares of Yum! Brands in a report on Friday, December 5th. Finally, Sanford C. Bernstein restated an “overweight” rating and issued a $179.00 target price on shares of Yum! Brands in a report on Wednesday, January 7th. Thirteen equities research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the stock. According to data from MarketBeat, Yum! Brands presently has an average rating of “Moderate Buy” and a consensus target price of $171.05.

Read Our Latest Report on Yum! Brands

Insider Transactions at Yum! Brands

In other Yum! Brands news, CEO Scott Mezvinsky sold 276 shares of the firm’s stock in a transaction that occurred on Monday, December 1st. The shares were sold at an average price of $153.17, for a total value of $42,274.92. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Aaron Powell sold 2,790 shares of Yum! Brands stock in a transaction on Tuesday, November 11th. The shares were sold at an average price of $150.48, for a total value of $419,839.20. Following the sale, the chief executive officer directly owned 26,650 shares in the company, valued at $4,010,292. The trade was a 9.48% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 29,153 shares of company stock valued at $4,351,177. Insiders own 0.33% of the company’s stock.

Institutional Investors Weigh In On Yum! Brands

Several hedge funds have recently bought and sold shares of YUM. Wiser Advisor Group LLC bought a new stake in shares of Yum! Brands during the 3rd quarter worth about $28,000. Sunbelt Securities Inc. raised its position in shares of Yum! Brands by 49.5% in the third quarter. Sunbelt Securities Inc. now owns 290 shares of the restaurant operator’s stock valued at $44,000 after purchasing an additional 96 shares during the period. Kelleher Financial Advisors acquired a new stake in shares of Yum! Brands in the third quarter worth $66,000. State of Wyoming boosted its holdings in shares of Yum! Brands by 52.2% during the 2nd quarter. State of Wyoming now owns 770 shares of the restaurant operator’s stock worth $114,000 after buying an additional 264 shares during the period. Finally, MUFG Securities EMEA plc acquired a new position in Yum! Brands in the 2nd quarter valued at $122,000. 82.37% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Yum! Brands

Here are the key news stories impacting Yum! Brands this week:

Positive Sentiment: Taco Bell drove the quarter — U.S. same-store sales jumped ~7%, providing the bulk of Yum’s outperformance vs. expectations. Yum! Brands tops same-store sales expectations as Taco Bell does the heavy lifting
Positive Sentiment: Company-wide revenue topped estimates at about $2.51B, signaling demand resilience and digital/global momentum. Yum Brands post mixed quarter, Taco Bell shines
Positive Sentiment: Yum increased its dividend in the quarter, a shareholder-friendly move that supports valuation and income-oriented buyers. Yum! Brands Reports Fourth-Quarter Results and Increases Dividend
Neutral Sentiment: KFC and value-meal demand helped same-store sales beat estimates, reflecting consumer trading toward value. KFC-parent Yum Brands tops same-store sales estimates as diners seek value meals
Neutral Sentiment: Analysts and forecasters had adjusted expectations ahead of the print; some are likely to tweak FY guidance and models after the mixed results. Top Wall Street Forecasters Revamp Yum! Brands Expectations Ahead Of Q4 Earnings
Negative Sentiment: Non-GAAP EPS of $1.73 missed consensus by ~$0.03, a modest miss that could pressure near-term multiple compression. Yum! Brands Non-GAAP EPS of $1.73 misses by $0.03, revenue of $2.51B beats by $60M
Negative Sentiment: Pizza Hut performance continues to lag and is cited as a drag on consolidated growth; this is a key execution risk for upside. Yum Brands earnings up next: Can Taco Bell offset Pizza Hut drag?
Negative Sentiment: Insiders sold roughly $6.3M of stock recently, which some investors may interpret as a signal of near-term caution. Insiders At Yum! Brands Sold US$6.3m In Stock, Alluding To Potential Weakness

About Yum! Brands

(Get Free Report)

Yum! Brands, Inc (NYSE: YUM) is a global quick-service restaurant company that develops, operates and franchises a portfolio of well-known restaurant brands. The company’s principal brands are KFC, Pizza Hut and Taco Bell, each focused on distinct product categories—KFC on fried chicken and related menu items, Pizza Hut on pizza and complementary offerings, and Taco Bell on Mexican-inspired quick-service food. Yum! is headquartered in Louisville, Kentucky and was formed as Tricon Global Restaurants in 1997 when PepsiCo spun off its restaurant businesses, later adopting the Yum! Brands name.

The company’s operating model centers on brand development, system growth and franchising; a large portion of its restaurants are operated by independent franchisees, and Yum! generates revenue through franchise royalties and fees in addition to sales from company-operated locations.