Yum! Brands Inc.Find Ratings Reports
YUM BRANDS INC's gross profit margin for the first quarter of its fiscal year 2018 has increased when compared to the same period a year ago. Even though sales decreased, the net income has increased.
During the same period, stockholders' equity ("net worth") has decreased by 16.20% from the same quarter last year.
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|Income Statement||Q1 FY18||Q1 FY17|
|Net Sales ($mil)||1371.0||1417.0|
|Net Income ($mil)||433.0||280.0|
|Balance Sheet||Q1 FY18||Q1 FY17|
|Cash & Equiv. ($mil)||982.0||579.0|
|Total Assets ($mil)||4836.0||5151.0|
|Total Debt ($mil)||9480.0||9108.0|
|Profitability||Q1 FY18||Q1 FY17|
|Gross Profit Margin||47.56||41.64|
|Return on Assets||30.87||30.26|
|Return on Equity||0.0||0.0|
|Debt||Q1 FY18||Q1 FY17|
|Share Data||Q1 FY18||Q1 FY17|
|Shares outstanding (mil)||327.0||350.0|
|Div / share||0.36||0.3|
|Book value / share||-20.65||-16.61|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||2366917.0||1815234.0|
HOLD. This stock's P/E ratio indicates a discount compared to an average of 29.34 for the Hotels, Restaurants & Leisure industry and a discount compared to the S&P 500 average of 24.78. Normally, for additional comaprison, we would look at the price-to-book ratio; however, this company's price-to-book ratio is negative making the value useless for comparisons. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. Upon assessment of these and other key valuation criteria, YUM BRANDS INC proves to trade at a discount to investment alternatives within the industry.
|YUM 19.74||Peers 29.34||YUM 29.63||Peers 17.90|
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.
YUM is trading at a significant discount to its peers.
Premium. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
YUM is trading at a significant premium to its peers.
|YUM 22.05||Peers 23.26||YUM NM||Peers 2.50|
Average. An average price-to-projected earnings ratio can signify an industry neutral stock price and average future growth expectations.
YUM is trading at a valuation on par with its peers.
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
YUM's negative PEG ratio makes this valuation measure meaningless.
|YUM NM||Peers 8.44||YUM 53.76||Peers 65.06|
Neutral. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
YUM's P/B is negative making this valuation measure meaningless.
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
However, YUM is expected to trail its peers on the basis of its earnings growth rate.
|YUM 4.75||Peers 3.59||YUM -7.87||Peers 9.03|
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
YUM is trading at a significant premium to its industry.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
YUM significantly trails its peers on the basis of sales growth