Yum! Brands Rating Increased to Top Pick at RBC Capital (YUM)
Yum! Brands (NYSE:YUM) was upgraded by analysts at RBC Capital from an “outperform” rating to a “top pick” rating in a research report issued to clients and investors on Tuesday, TheFlyOnTheWall.com reports. The firm currently has a $87.00 price objective on the stock, up from their previous price objective of $85.00. RBC Capital’s target price points to a potential upside of 13.64% from the stock’s previous close.
The analysts wrote, “Our conviction level in a near-term China sales recovery has increased,” the report noted. “Therefore, we now see December SSS growth between 5% and 7% versus our previously stated base case of mid-single-digit growth. Moreover, our analysis of media coverage suggests that a recent increase in Avian Flu concerns has been relatively short-lived. Accordingly, our 4Q13 EPS estimate increases from $0.80 to $0.81 versus consensus of $0.80. Similarly, our above-consensus 2014 and 2015 EPS estimates increase from $3.61 and $4.26 to $3.62 (+24% YOY) and $4.27 (+18% YOY), respectively.”
In other Yum! Brands news, CFO Patrick Grismer sold 1,753 shares of Yum! Brands stock in a transaction that occurred on Thursday, January 2nd. The shares were sold at an average price of $75.21, for a total value of $131,843.13. The transaction was disclosed in a filing with the SEC, which is available at this link.
Yum! Brands (NYSE:YUM) traded up 1.40% on Tuesday, hitting $76.56. 3,625,927 shares of the company’s stock traded hands. Yum! Brands has a one year low of $59.68 and a one year high of $78.68. The stock’s 50-day moving average is $74.70 and its 200-day moving average is $71.85. The company has a market cap of $34.094 billion and a P/E ratio of 31.63.
Yum! Brands (NYSE:YUM) last posted its quarterly earnings results on Wednesday, October 9th. The company reported $0.85 earnings per share for the quarter, missing the analysts’ consensus estimate of $0.93 by $0.08. The company had revenue of $3.47 billion for the quarter, compared to the consensus estimate of $3.53 billion. During the same quarter last year, the company posted $0.99 earnings per share. Yum! Brands’s revenue was down 2.9% compared to the same quarter last year. On average, analysts predict that Yum! Brands will post $2.92 earnings per share for the current fiscal year.
A number of other analysts have also recently weighed in on YUM. Analysts at Sanford C. Bernstein upgraded shares of Yum! Brands from a “market perform” rating to an “outperform” rating in a research note to investors on Monday, December 16th. They now have a $85.00 price target on the stock, up previously from $75.00. Separately, analysts at Zacks upgraded shares of Yum! Brands from an “underperform” rating to a “neutral” rating in a research note to investors on Tuesday, December 3rd. They now have a $82.00 price target on the stock. Finally, analysts at UBS AG raised their price target on shares of Yum! Brands from $19.00 to $90.00 in a research note to investors on Friday, November 22nd. They now have a “neutral” rating on the stock. Seventeen research analysts have rated the stock with a hold rating, seven have assigned a buy rating and one has given a strong buy rating to the company’s stock. The company has a consensus rating of “Hold” and a consensus target price of $75.11.
Yum! Brands, Inc (NYSE:YUM) is a quick service restaurant company based on number of system units, with approximately 37,000 units in more than 120 countries and territories.
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