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]

Core Insights - Yum Brands reported quarterly earnings of $1.44 per share, slightly missing the Zacks Consensus Estimate of $1.45 per share, but showing an increase from $1.35 per share a year ago, resulting in an earnings surprise of -0.69% [1] - The company posted revenues of $1.93 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 0.15% and increasing from $1.76 billion year-over-year [2] - Yum has outperformed the S&P 500 with a 9.6% gain since the beginning of the year compared to the S&P 500's 7.6% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.50 on revenues of $1.95 billion, and for the current fiscal year, it is $6.03 on revenues of $8.07 billion [7] - The estimate revisions trend for Yum was favorable ahead of the earnings release, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Retail - Restaurants industry, to which Yum belongs, is currently in the top 41% of over 250 Zacks industries, suggesting a favorable outlook as the top 50% of Zacks-ranked industries outperform the bottom 50% by more than 2 to 1 [8] - Another competitor in the same industry, Papa John's, is expected to report quarterly earnings of $0.34 per share, reflecting a year-over-year decline of 44.3%, with revenues projected at $515.36 million, up 1.5% from the previous year [9]