Louisville, KY-based Yum! Brands, Inc.YUM is a leading multi-branding company which offers consumers more choice and convenience at one outlet. Its brands - KFC, Pizza Hut and Taco Bell - are regarded as the global leaders of the chicken, pizza and Mexican-style food categories.
The spin-off of the company's China business into an independent, publicly-traded company on Oct 31, 2016, somewhat deterred the company's growth story.
Nonetheless, efforts to subsidize the effects of the spin-off by driving growth at KFC, Pizza Hut and Taco Bell brands via various digital initiatives, further international expansion and by refranchising a major portion of its business bodes well.
Investors should note that the consensus estimate for YUM has been moving slightly upwards over the last 60 days. Moreover, YUM's earnings have been strong over the past few quarters. In fact, the company's earnings surpassed/met the Zacks Consensus Estimate in each of the last four quarters, with an average beat of 4.71%.
Yum! Brands, Inc. Price and EPS Surprise
YUM currently has a Zacks Rank #3 (Hold) but that could change following Yum! Brands' earnings report which was just released. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
We have highlighted some of the key stats from this just-revealed announcement below:
Earnings : YUM beats on earnings. Our consensus earnings estimate called for earnings per share of 72 cents per share, and the company reported earnings of 79 cents per share. Investors should note that these figures take out stock option expenses.
Revenues : YUM reported revenues of $2.02 billion, which were in line with the Zacks Consensus Estimate.
Key Stats to Note : In fourth-quarter 2016, comps at the KFC and Taco Bell division were up 3% each,. However, Pizza Hut comps declined 2% in the quarter.
Stock Price Impact : At the time of writing, the stock price of Yum! Brands' was up nearly 1% during pre-market trading hours following the earnings release.
Check back later for our full write up on this YUM earnings report!
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