76,753 Shares in Yum! Brands, Inc. $YUM Acquired by Varma Mutual Pension Insurance Co

Varma Mutual Pension Insurance Co bought a new stake in Yum! Brands, Inc. (NYSE:YUM) during the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund bought 76,753 shares of the restaurant operator’s stock, valued at approximately $12,270,000.

Several other hedge funds also recently bought and sold shares of YUM. Hsbc Holdings PLC raised its holdings in shares of Yum! Brands by 5.9% during the 4th quarter. Hsbc Holdings PLC now owns 569,676 shares of the restaurant operator’s stock valued at $86,197,000 after purchasing an additional 31,836 shares in the last quarter. Bleakley Financial Group LLC bought a new stake in Yum! Brands in the first quarter worth $1,589,000. Mitsubishi UFJ Asset Management Co. Ltd. increased its position in Yum! Brands by 5.4% during the fourth quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 584,953 shares of the restaurant operator’s stock worth $88,030,000 after buying an additional 30,075 shares during the last quarter. AustralianSuper Pty Ltd acquired a new position in Yum! Brands during the fourth quarter worth $1,264,000. Finally, QRG Capital Management Inc. raised its holdings in Yum! Brands by 19.8% during the first quarter. QRG Capital Management Inc. now owns 103,807 shares of the restaurant operator’s stock valued at $16,140,000 after buying an additional 17,189 shares in the last quarter. 82.37% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling at Yum! Brands

In other Yum! Brands news, CEO Aaron Powell sold 6,001 shares of the company’s stock in a transaction that occurred on Wednesday, July 1st. The stock was sold at an average price of $160.42, for a total value of $962,680.42. Following the completion of the transaction, the chief executive officer owned 12,003 shares of the company’s stock, valued at $1,925,521.26. This represents a 33.33% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP David Eric Russell sold 7,961 shares of the firm’s stock in a transaction that occurred on Monday, August 3rd. The stock was sold at an average price of $153.15, for a total value of $1,219,227.15. Following the completion of the sale, the vice president owned 11,960 shares of the company’s stock, valued at $1,831,674. This represents a 39.96% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 18,549 shares of company stock valued at $2,890,168 over the last quarter. Company insiders own 0.14% of the company’s stock.

Yum! Brands Price Performance

Shares of Yum! Brands stock opened at $153.31 on Monday. Yum! Brands, Inc. has a fifty-two week low of $137.33 and a fifty-two week high of $170.14. The firm has a fifty day moving average price of $153.43 and a two-hundred day moving average price of $155.98. The company has a market cap of $41.84 billion, a PE ratio of 19.28, a price-to-earnings-growth ratio of 2.48 and a beta of 0.55.

Yum! Brands (NYSE:YUM) last posted its quarterly earnings data on Thursday, July 30th. The restaurant operator reported $1.62 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.58 by $0.04. The company had revenue of $2.17 billion for the quarter, compared to the consensus estimate of $2.18 billion. Yum! Brands had a net margin of 25.42% and a negative return on equity of 24.57%. The business’s revenue was up 12.2% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.44 EPS. Analysts expect that Yum! Brands, Inc. will post 6.42 earnings per share for the current fiscal year.

Yum! Brands declared that its Board of Directors has approved a stock repurchase program on Tuesday, June 16th that permits the company to repurchase $4.00 billion in shares. This repurchase authorization permits the restaurant operator to purchase up to 9.4% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board of directors believes its shares are undervalued.

Yum! Brands News Summary

Here are the key news stories impacting Yum! Brands this week:

• Positive Sentiment: Yum! Brands outlined a renewed consumer-growth strategy centered on strengthening brand engagement, digital capabilities, loyalty programs and operational execution across KFC, Taco Bell and Pizza Hut. The emphasis on personalized customer experiences and technology could support sales and franchisee performance. Yum! Brands Reveals New Path for Consumer Growth
• Positive Sentiment: The company appointed former HanesBrands CEO Steve Bratspies to its board, effective August 26. His experience managing global consumer brands and improving operations may add expertise as Yum! pursues growth and evaluates its portfolio. Yum! Brands Appoints Steve Bratspies to Board
• Neutral Sentiment: Pizza Hut is using a football-themed branding promotion ahead of the NFL season. The marketing effort could increase near-term visibility, but it comes as Yum! advances the multibillion-dollar sale of the chain, making the strategic implications more important than the promotion itself. Pizza Hut Branding Change
• Negative Sentiment: Shares faced pressure after Yum! announced a new chief executive officer. Although a leadership change could bring fresh momentum, investors may be concerned about execution risk and the direction of the company during the transition. Yum! Brands Slides on Naming New CEO
• Negative Sentiment: An insider reportedly reduced a Yum! Brands equity stake by 28%, while executive share withholding related to restricted-stock-unit vesting was also disclosed. These transactions are not necessarily signals of deteriorating fundamentals, but they can weigh on sentiment. Yum! Brands Insider Sale
• Negative Sentiment: Pomerantz LLP said it is investigating potential claims on behalf of Yum! investors. The announcement does not establish wrongdoing, but it adds legal and reputational uncertainty to the stock. Pomerantz Investor Investigation

Wall Street Analyst Weigh In

YUM has been the subject of a number of analyst reports. UBS Group reaffirmed a “buy” rating on shares of Yum! Brands in a research report on Thursday, June 18th. Citigroup raised their price objective on Yum! Brands from $175.00 to $178.00 and gave the company a “neutral” rating in a research note on Sunday, July 12th. Wells Fargo & Company boosted their target price on Yum! Brands from $160.00 to $165.00 and gave the stock an “equal weight” rating in a report on Thursday, April 30th. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $174.00 target price on shares of Yum! Brands in a research report on Friday, July 31st. Finally, Royal Bank Of Canada upped their price objective on shares of Yum! Brands from $165.00 to $170.00 and gave the stock a “sector perform” rating in a report on Friday, July 31st. Twelve research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $174.65.

Yum! Brands Company Profile

Yum! Brands, Inc (NYSE: YUM) is a global quick-service restaurant company that develops, operates and franchises a portfolio of well-known restaurant brands. The company’s principal brands are KFC, Pizza Hut and Taco Bell, each focused on distinct product categories—KFC on fried chicken and related menu items, Pizza Hut on pizza and complementary offerings, and Taco Bell on Mexican-inspired quick-service food. Yum! is headquartered in Louisville, Kentucky and was formed as Tricon Global Restaurants in 1997 when PepsiCo spun off its restaurant businesses, later adopting the Yum! Brands name.

The company’s operating model centers on brand development, system growth and franchising; a large portion of its restaurants are operated by independent franchisees, and Yum! generates revenue through franchise royalties and fees in addition to sales from company-operated locations.