Yum Brands, Inc. (NYSE:YUM) Stock Update: Insider Sale and Financial Health

Summary
Yum Brands, Inc. (NYSE:YUM) Stock Update: Insider Sale and Financial Health
Gibbs David W, CEO of Yum Brands, sold 1,957 shares at $146.60 each, retaining 102,893 shares. YUM is recognized as a strong momentum stock by Zacks Investment Research, indicating potential short-term performance. The company's financial metrics, including a P/E ratio of 28.66 and a price-to-sales ratio of 5.24, suggest a strong market valuation.
Yum Brands, Inc. (NYSE:YUM), a global fast-food company known for its popular brands like KFC, Pizza Hut, and Taco Bell, recently saw its director and CEO, Gibbs David W, sell 1,957 shares of the company's common stock at $146.60 each. After this transaction, he retains approximately 102,893 shares. This sale is documented in the SEC filing.
YUM is recognized as a strong momentum stock, as highlighted by Zacks Investment Research. The Zacks Style Scores evaluate stocks based on value, growth, and momentum, helping investors identify potential outperformers. YUM's strong momentum suggests it may continue to perform well in the short term, making it an attractive option for investors seeking growth.
YUM's financial metrics provide insight into its market position. The company has a price-to-earnings (P/E) ratio of 28.66, indicating investor willingness to pay $28.66 for every dollar of earnings. Its price-to-sales ratio is 5.24, reflecting the value placed on each dollar of sales. These ratios suggest a strong market valuation.
The enterprise value to sales ratio of 6.63 and enterprise value to operating cash flow ratio of 29.65 highlight YUM's valuation relative to its sales and cash flow. An earnings yield of 3.49% shows the percentage of each dollar invested that was earned by the company. These figures indicate a solid financial standing.
YUM's debt-to-equity ratio of -1.46 suggests more liabilities than equity, which could be a concern for some investors. However, a current ratio of 1.40 indicates the company's ability to cover short-term liabilities with short-term assets, providing some reassurance about its financial health.