Yum Brands Inc (YUM): Today's Featured Leisure Laggard

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Yum Brands ( YUM) pushed the Leisure industry lower today making it today's featured Leisure laggard. The industry as a whole closed the day down 0.1%. By the end of trading, Yum Brands fell $1.27 (-1.7%) to $74.39 on average volume. Throughout the day, 3,772,169 shares of Yum Brands exchanged hands as compared to its average daily volume of 3,603,700 shares. The stock ranged in price between $74.00-$75.29 after having opened the day at $75.29 as compared to the previous trading day's close of $75.66. Other companies within the Leisure industry that declined today were: Orient-Express Hotels ( OEH), down 4.1%, Nevada Gold & Casinos ( UWN), down 3.8%, Potbelly Corporation ( PBPB), down 3.7% and Bob Evans Farms ( BOBE), down 3.5%.

YUM! Brands, Inc., together with its subsidiaries, operates quick service restaurants in the United States and internationally. It operates in six segments: YUM Restaurants China, YUM Restaurants International, Taco Bell U.S., KFC U.S., Pizza Hut U.S., and YUM Restaurants India. Yum Brands has a market cap of $33.7 billion and is part of the services sector. The company has a P/E ratio of 32.5, above the S&P 500 P/E ratio of 17.7. Shares are up 17.0% year to date as of the close of trading on Wednesday. Currently there are 8 analysts that rate Yum Brands a buy, no analysts rate it a sell, and 12 rate it a hold.

TheStreet Ratings rates Yum Brands as a buy. The company's strongest point has been its expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the positive front, MakeMyTrip ( MMYT), up 5.6%, Chanticleer Holdings ( HOTR), up 4.2%, Renren ( RENN), up 3.0% and Empire Resorts ( NYNY), up 2.2% , were all gainers within the leisure industry with Melco Crown Entertainment ( MPEL) being today's featured leisure industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the leisure industry could consider PowerShares Dynamic Leisure&Entert ( PEJ) while those bearish on the leisure industry could consider ProShares Ultra Sht Consumer Services ( SCC).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

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