As of the end of 2025, Yum Brands generated over $68 billion in systemwide sales from more than 63,000 restaurants across 155 markets, making it the world's second-largest restaurant firm by dollar sales.
It is a $39.5B consumer company. Revenue grew 10.3% over the last year, it keeps 25¢ of every dollar of sales as profit, and its net debt equals ~6.7 years of free cash flow. It trades at 17.9× earnings — near the lowest of its own history.
- Website
- yum.com
- Location
- Louisville, KY
- Employees
- 49 000
- Sector
- Consumer Cyclical
Skills
Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.
Strong profitability, quality and moat; Growth and Health lag behind.
Valuation69
- P/E vs own history2th pct · 25/25
- FCF yield4.2% · 12/25
- P/S4.5x · 20/25
- EV/EBITDA17.4x · 12/25
Growth32
- Revenue CAGR5.7% · 12/25
- Net income CAGR-0.3% · 0/25
- EPS CAGR ~5Y13.6% · 20/25
- Fwd implied growth-7.0% · 0/25
Profitability100
- ROIC40.2% · 25/25
- ROE117.6% · 25/25
- Net margin25.4% · 25/25
- Operating margin31.0% · 25/25
Health21
- Altman Z1.17 · 3/25
- Current ratio0.59 · 0/25
- Interest coverage5.2x · 18/25
- Net cash / debtD/A 137% · 0/25
Quality75
- Piotroski F5/9 · 15/25
- Beneish M-2.57 · 25/25
- FCF conversion76% · 15/25
- Margin stabilityσ 6.5% · 20/25
Moat100
- ROIC >12% years10/10 yrs · 25/25
- Median gross margin72.6% · 25/25
- FCF-positive years10/10 yrs · 25/25
- Worst-year net marginworst 16.0% · 25/25
Experience
The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.
- 2020AcquisitionAnd 2021, Yum! acquired several technology companies
- FY2016FinancialProfitable every year on record10 consecutive profitable years in our data
- FY2016FinancialRevenue already above $1B$6.37B in first reported year
- FY2016FinancialPositive free cash flow every year since10-year streak
- FY2016FinancialBest year on record$1.62B net income
- 2014ProductYum! launched a number of additional restaurant test concepts, Super Chix, U.S
- 2012MilestoneA KFC opened in Ramallah and became the first American fast food restaurant to operate in the West Bank
- 2003ProductYum! launched WingStreet as a hybrid combo unit with an existing Pizza Hut franchise
- 2002MilestoneYum! took its current name in 2002 after merging with Yorkshire Global Restaurants
- May 8, 2002AcquisitionThe merger was finalized on May 8, 2002, and the name change became effective on May 22, 2002
- 1997MilestoneYum! was formed as Tricon Global Restaurants in 1997 as a spin-off of PepsiCo
- 1997ProductYum! was created in 1997 as Tricon Global Restaurants, Inc. from PepsiCo's fast food division as the parent…
- 1992AcquisitionPepsiCo acquired California Pizza Kitchen
- 1977AcquisitionThe spin-off consists of PepsiCo's former fast food restaurant division
Achievements
Verifiable track record, straight from the reported numbers.
Strengths & watch-outs
What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.
Strengths
- High gross margin (45.3%)
- Strongly profitable — 25.4% net margin
- Revenue growing 10.3% year over year
- Strong cash conversion — FCF is 19.3% of revenue
- Interest covered 5.2× by operating earnings
Watch-outs
- Altman Z-Score 1.17 — elevated financial-distress risk
- Net debt would take ~7.6 years of free cash flow to repay
- Net debt equals ~6.7 years of free cash flow
Qualifications
The basics a company should meet before you research it further. Each check uses the reported numbers.
- Revenue growing — the company sells more than a year ago+10.3% YoY
- Profitable — makes more than it spends$2.22B TTM
- Profit growing — earnings are higher than last year+6.7% YoY
- Generates cash — cash left after running and investing$1.68B TTM
- Debt under control — could handle its obligations~6.7y of cash flow to repay
- Established company — not a micro-cap — lower blow-up risk$39.5B market cap
- Not printing shares — share count not ballooning — you keep your slice-8.6% shares over ~5y
- Proven track record — years of profitability behind it10/10 profitable years
- Financially stable — balance sheet not near distressAltman Z 1.2 — distress
- Pays a dividend — returns cash to shareholdersyield 2.04%
- Valuation not extreme — price not wildly above earningsP/E 17.9
Peer comparisonYum! Brands, Inc. vs 6 largest consumer cyclical peers — cap, P/E, growth and margin side by sideOpen ▾Close ▴
| Company | Market cap | P/E | Revenue growth | Net margin | Profile |
|---|---|---|---|---|---|
| YUM this company | $39.5B | 17.9 | +10.3% | 25.4% | Strained |
| AMZN Amazon.Com Inc | $2.8T | 20.9 | +15.8% | 17.4% | Mixed |
| TSLA Tesla, Inc. | $1.5T | 397.1 | +11.8% | 3.7% | Strong |
| NFLX NetFlix Inc | $292.8B | 21.4 | +16.0% | 28.2% | Solid |
| HD Home Depot, Inc. | $290.4B | 20.4 | -16.0% | 8.7% | Solid |
| DIS The Walt Disney Company | $186.5B | 21.7 | +4.6% | 8.7% | Solid |
| MCD McDonald's Corporation | $166.9B | 18.9 | +6.3% | 31.7% | Strained |
Head-to-head: YUM vs AMZN · YUM vs TSLA · YUM vs NFLX
References
What covering analysts publish about the company — information only, not a recommendation.
Appendix · Financial records
The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.
Live data and quarterly detail: stockcv.com/YUM
Want the live picture — intraday moves, valuation history and full analysis?
Deeper analysis of YUM on PreMarketPriceFigures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $144.82 · market cap $39.5B.