Here’s What Analysts Say on Yum! Brands (YUM) Amid Pizza Hut Review

Yum! Brands, Inc. (NYSE:YUM) is 1 of the 13 Best Fast Food Stocks to Buy. On December 9, Stifel reiterated its Hold standing connected Yum! Brands, Inc. (NYSE:YUM) with a terms people of $160. This update comes arsenic the institution is looking astatine strategical options for its Pizza Hut business.

Stifel’s investigation suggested that divesting Pizza Hut could boost the company’s wide maturation outlook. However, it mightiness pb to little implicit earnings, which could cancel retired immoderate imaginable valuation gains. The probe steadfast pointed retired that divesting the Pizza Hut concern could region “a cardinal root of underperformance risk” and amended capitalist assurance successful much reliable maturation up for Yum! Brands, Inc. (NYSE:YUM).

Stifel indicated that its presumption connected Yum! Brands, Inc. (NYSE:YUM) has turned “more constructive.” The strategical reappraisal shows that the company’s caller CEO is superior astir boosting worth for shareholders. The probe firm’s investigation indicates that it would see recommending shares if the banal dips owed to immoderate marketplace moves.

Earlier, connected December 5, Piper Sandler besides reaffirmed its Neutral standing connected Yum! Brands, Inc. (NYSE:YUM) with a terms people of $158 arsenic the institution explores strategical options for its Pizza Hut business. Piper Sandler pointed retired that a implicit merchantability of the concern would apt beryllium dilutive to the company’s earnings.

The probe steadfast besides indicated that immoderate gains successful valuation from divesting the Pizza Hut concern are already priced into the stock. Piper Sandler is doubtful astir aggregate enlargement aft an existent divestment. The steadfast pointed retired that it is “not obvious” that immoderate further valuation gains would materialize.

Yum! Brands, Inc. (NYSE:YUM) is an American multinational accelerated nutrient institution that operates well-known brands similar KFC, Taco Bell, Pizza Hut, and The Habit Burger Grill. With restaurants successful implicit 155 countries and territories, it is 1 of the largest edifice companies successful the world.

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Disclosure: None. This nonfiction is primitively published astatine Insider Monkey.