Core Insights - Yum Brands reported quarterly earnings of $1.58 per share, exceeding the Zacks Consensus Estimate of $1.47 per share, and up from $1.37 per share a year ago, representing an earnings surprise of +7.48% [1] - The company generated revenues of $1.98 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 0.88% and increasing from $1.83 billion year-over-year [2] - Yum has outperformed consensus EPS estimates three times over the last four quarters and has also topped revenue estimates three times in the same period [2] Future Outlook - The sustainability of Yum's stock price movement will largely depend on management's commentary during the earnings call and future earnings expectations [3][4] - Current consensus EPS estimate for the upcoming quarter is $1.80 on revenues of $2.42 billion, and for the current fiscal year, it is $6.01 on revenues of $8.1 billion [7] - The Zacks Rank for Yum is currently 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Retail - Restaurants industry, to which Yum belongs, is currently ranked in the bottom 14% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Yum's stock performance [5]
Yum Brands (YUM) Surpasses Q3 Earnings and Revenue Estimates