YUM! BRANDS INC (TGR.DE) Stock Fundamental Analysis
Europe - FRA:TGR - US9884981013 - Common Stock
124.5 EUR
+0.35 (+0.28%)
Overall TGR gets a fundamental rating of 5 out of 10. We evaluated TGR against 62 industry peers in the Hotels, Restaurants & Leisure industry. TGR has an excellent profitability rating, but there are some minor concerns on its financial health. TGR is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
TGR had positive earnings in the past year.
TGR had a positive operating cash flow in the past year.
Each year in the past 5 years TGR has been profitable.
TGR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TGR's Return On Assets of 20.70% is amongst the best of the industry. TGR outperforms 98.39% of its industry peers.
TGR's Return On Invested Capital of 44.91% is amongst the best of the industry. TGR outperforms 98.39% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TGR is significantly above the industry average of 11.85%.
The 3 year average ROIC (40.31%) for TGR is below the current ROIC(44.91%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.7% | ||
| ROE | N/A | ||
| ROIC | 44.91% |
ROA(3y)23.46%
ROA(5y)22.45%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)40.31%
ROIC(5y)38.47%
1.3 Margins
With an excellent Profit Margin value of 18.11%, TGR belongs to the best of the industry, outperforming 85.48% of the companies in the same industry.
In the last couple of years the Profit Margin of TGR has declined.
TGR has a better Operating Margin (32.07%) than 91.94% of its industry peers.
In the last couple of years the Operating Margin of TGR has remained more or less at the same level.
Looking at the Gross Margin, with a value of 46.48%, TGR is in line with its industry, outperforming 46.77% of the companies in the same industry.
TGR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.07% | ||
| PM (TTM) | 18.11% | ||
| GM | 46.48% |
OM growth 3Y1.43%
OM growth 5Y-0.24%
PM growth 3Y-6.29%
PM growth 5Y-3.17%
GM growth 3Y-0.26%
GM growth 5Y-1.04%
2. Health
2.1 Basic Checks
TGR has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for TGR has been reduced compared to 1 year ago.
Compared to 5 years ago, TGR has less shares outstanding
The debt/assets ratio for TGR has been reduced compared to a year ago.
2.2 Solvency
TGR has an Altman-Z score of 2.44. This is not the best score and indicates that TGR is in the grey zone with still only limited risk for bankruptcy at the moment.
TGR has a Altman-Z score of 2.44. This is in the better half of the industry: TGR outperforms 69.35% of its industry peers.
TGR has a debt to FCF ratio of 7.42. This is a slightly negative value and a sign of low solvency as TGR would need 7.42 years to pay back of all of its debts.
The Debt to FCF ratio of TGR (7.42) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 7.42 | ||
| Altman-Z | 2.44 |
ROIC/WACC5.87
WACC7.65%
2.3 Liquidity
A Current Ratio of 0.82 indicates that TGR may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.82, TGR is in line with its industry, outperforming 48.39% of the companies in the same industry.
TGR has a Quick Ratio of 0.82. This is a bad value and indicates that TGR is not financially healthy enough and could expect problems in meeting its short term obligations.
TGR has a Quick ratio of 0.82. This is comparable to the rest of the industry: TGR outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.00% over the past year.
The Earnings Per Share has been growing by 9.07% on average over the past years. This is quite good.
The Revenue has grown by 11.30% in the past year. This is quite good.
The Revenue has been growing slightly by 6.17% on average over the past years.
EPS 1Y (TTM)10%
EPS 3Y7.03%
EPS 5Y9.07%
EPS Q2Q%6.67%
Revenue 1Y (TTM)11.3%
Revenue growth 3Y4.66%
Revenue growth 5Y6.17%
Sales Q2Q%9.64%
3.2 Future
TGR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.84% yearly.
TGR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.03% yearly.
EPS Next Y10.47%
EPS Next 2Y10.52%
EPS Next 3Y11.06%
EPS Next 5Y11.84%
Revenue Next Year7.4%
Revenue Next 2Y6.92%
Revenue Next 3Y6.7%
Revenue Next 5Y7.03%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 25.36, the valuation of TGR can be described as expensive.
Based on the Price/Earnings ratio, TGR is valued a bit cheaper than 67.74% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.40, TGR is valued at the same level.
A Price/Forward Earnings ratio of 21.67 indicates a rather expensive valuation of TGR.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TGR indicates a somewhat cheap valuation: TGR is cheaper than 61.29% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.94, TGR is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.36 | ||
| Fwd PE | 21.67 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as TGR.
TGR's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.22 | ||
| EV/EBITDA | 18.67 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
TGR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.42
PEG (5Y)2.8
EPS Next 2Y10.52%
EPS Next 3Y11.06%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.91%, TGR has a reasonable but not impressive dividend return.
TGR's Dividend Yield is a higher than the industry average which is at 3.09.
TGR's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.91% |
5.2 History
The dividend of TGR is nicely growing with an annual growth rate of 9.75%!
Dividend Growth(5Y)9.75%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
53.77% of the earnings are spent on dividend by TGR. This is a bit on the high side, but may be sustainable.
The dividend of TGR is growing, but earnings are growing more, so the dividend growth is sustainable.
DP53.77%
EPS Next 2Y10.52%
EPS Next 3Y11.06%
FRA:TGR (10/17/2025, 7:00:00 PM)
124.5
+0.35 (+0.28%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners86.31%
Inst Owner ChangeN/A
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap34.55B
Analysts70.86
Price Target137.48 (10.43%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.91% |
Yearly Dividend2.32
Dividend Growth(5Y)9.75%
DP53.77%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.22%
Min EPS beat(2)-2.34%
Max EPS beat(2)-0.09%
EPS beat(4)0
Avg EPS beat(4)-1.66%
Min EPS beat(4)-4.11%
Max EPS beat(4)-0.09%
EPS beat(8)2
Avg EPS beat(8)-1.33%
EPS beat(12)4
Avg EPS beat(12)-0.67%
EPS beat(16)5
Avg EPS beat(16)-0.74%
Revenue beat(2)0
Avg Revenue beat(2)-2.86%
Min Revenue beat(2)-4.49%
Max Revenue beat(2)-1.23%
Revenue beat(4)0
Avg Revenue beat(4)-2.7%
Min Revenue beat(4)-4.8%
Max Revenue beat(4)-0.3%
Revenue beat(8)0
Avg Revenue beat(8)-3.8%
Revenue beat(12)2
Avg Revenue beat(12)-2.52%
Revenue beat(16)2
Avg Revenue beat(16)-2.25%
PT rev (1m)-1.02%
PT rev (3m)-3.33%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.69%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)-0.61%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.36 | ||
| Fwd PE | 21.67 | ||
| P/S | 5.09 | ||
| P/FCF | 26.22 | ||
| P/OCF | 21.94 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.67 |
EPS(TTM)4.91
EY3.94%
EPS(NY)5.75
Fwd EY4.61%
FCF(TTM)4.75
FCFY3.81%
OCF(TTM)5.68
OCFY4.56%
SpS24.46
BVpS-23.75
TBVpS-27.61
PEG (NY)2.42
PEG (5Y)2.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.7% | ||
| ROE | N/A | ||
| ROCE | 54.1% | ||
| ROIC | 44.91% | ||
| ROICexc | 52.49% | ||
| ROICexgc | 76.15% | ||
| OM | 32.07% | ||
| PM (TTM) | 18.11% | ||
| GM | 46.48% | ||
| FCFM | 19.41% |
ROA(3y)23.46%
ROA(5y)22.45%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)40.31%
ROIC(5y)38.47%
ROICexc(3y)45.11%
ROICexc(5y)43.66%
ROICexgc(3y)59.72%
ROICexgc(5y)58.3%
ROCE(3y)48.55%
ROCE(5y)46.33%
ROICexcg growth 3Y0.45%
ROICexcg growth 5Y-3.03%
ROICexc growth 3Y0.78%
ROICexc growth 5Y-2.83%
OM growth 3Y1.43%
OM growth 5Y-0.24%
PM growth 3Y-6.29%
PM growth 5Y-3.17%
GM growth 3Y-0.26%
GM growth 5Y-1.04%
F-Score6
Asset Turnover1.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 7.42 | ||
| Debt/EBITDA | 3.82 | ||
| Cap/Depr | 159.57% | ||
| Cap/Sales | 3.79% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.36% | ||
| Profit Quality | 107.19% | ||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 2.44 |
F-Score6
WACC7.65%
ROIC/WACC5.87
Cap/Depr(3y)174.74%
Cap/Depr(5y)154.81%
Cap/Sales(3y)3.84%
Cap/Sales(5y)3.57%
Profit Quality(3y)88.51%
Profit Quality(5y)97.18%
High Growth Momentum
Growth
EPS 1Y (TTM)10%
EPS 3Y7.03%
EPS 5Y9.07%
EPS Q2Q%6.67%
EPS Next Y10.47%
EPS Next 2Y10.52%
EPS Next 3Y11.06%
EPS Next 5Y11.84%
Revenue 1Y (TTM)11.3%
Revenue growth 3Y4.66%
Revenue growth 5Y6.17%
Sales Q2Q%9.64%
Revenue Next Year7.4%
Revenue Next 2Y6.92%
Revenue Next 3Y6.7%
Revenue Next 5Y7.03%
EBIT growth 1Y8.42%
EBIT growth 3Y6.16%
EBIT growth 5Y5.91%
EBIT Next Year12.87%
EBIT Next 3Y9.55%
EBIT Next 5Y8.84%
FCF growth 1Y20.02%
FCF growth 3Y-1%
FCF growth 5Y5.06%
OCF growth 1Y15.92%
OCF growth 3Y-0.33%
OCF growth 5Y5.13%