NEW YORK (TheStreet) -- Shares of Yum! Brands (YUM) - Get Report  were declining in mid-morning trading on Friday as RBC Capital Markets reduced the company's stock rating to "outperform" from "top pick" this morning. 

The firm maintained its $97 price target on shares of the Louisville-based fast food restaurant operator. 

RBC said it still considers Yum! Brands to be one of the "most favored" names in its coverage universe, but said its current price target is more representative of an "outperform" rating. 

The firm remains optimistic about potential upsides generated from Yum China Holdings' brand recovery and continued free-cash-flow generation by Yum! Brands. 

Yum China is being spun off from Yum! Brands. Earlier this week, Yum China filed with the SEC to issue 10 million common shares to participants in Yum's incentive plans.

Yum! Brands said that it would spin off Yum China through a distribution of common shares. 

RBC noted that Yum! Brands restaurants KFC and Taco Bell appear solid, but Pizza Hut appears to be in need of improved marketing. 

Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:

TheStreet Ratings team rates Yum! Brands as a Hold with a ratings score of C+. The primary factors that have impacted the rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, it also finds weaknesses including weak operating cash flow and poor profit margins.

You can view the full analysis from the report here:

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