Yum! (YUM, $119.84) misses Q2 earnings expectations
Yum! Brands, Inc. posted its second quarter earnings that fell short of analysts’ expectations.
The fast food company’s earnings excluding special items fell -9% from the year-ago quarter to $1.05 per share, compared to the $1.10 expected by analysts polled by Thomson Reuters.
GAAP earnings came in at $0.77, which is -40% lower year-over-year.
Revenues rose +2% year-over-year to $1.64 billion, in line with analysts’ estimate. Worldwide system sales excluding foreign currency translation climbed +3%. Global same-store sales growth came in at +1%; excluding China, it was +6%.
Yum indicated that consumers globally are becoming increasingly cautious, inducing the restaurant company to focus more on value offerings.
“If you look at the U.S., I think what’s happened over the last quarter is that the low-income consumer pulling back has become more pronounced,” Yum CEO David Gibbs said. However, he also added that it was “probably a bit of an oversimplification” to say that higher-income consumers are absorbing inflation better than those with lower incomes.
YUM in upward trend: 10-day moving average moved above 50-day moving average on November 13, 2025
The 10-day moving average for YUM crossed bullishly above the 50-day moving average on November 13, 2025. This indicates that the trend has shifted higher and could be considered a buy signal. In of 21 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where YUM's RSI Oscillator exited the oversold zone, of 23 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on November 20, 2025. You may want to consider a long position or call options on YUM as a result. In of 86 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for YUM just turned positive on November 04, 2025. Looking at past instances where YUM's MACD turned positive, the stock continued to rise in of 46 cases over the following month. The odds of a continued upward trend are .
YUM moved above its 50-day moving average on November 04, 2025 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where YUM advanced for three days, in of 325 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 191 cases where YUM Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 59 cases where YUM's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where YUM declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
YUM broke above its upper Bollinger Band on November 25, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 83, placing this stock better than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. YUM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.000) is normal, around the industry mean (5.535). P/E Ratio (29.365) is within average values for comparable stocks, (37.790). Projected Growth (PEG Ratio) (1.938) is also within normal values, averaging (1.621). Dividend Yield (0.019) settles around the average of (0.061) among similar stocks. P/S Ratio (5.269) is also within normal values, averaging (8.350).
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General Information
a company that owns and franchises quick-service restaurants
Industry Restaurants
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