Yum Brands' Geographic Diversification Is Good For Its Growth

Jun. 10, 2022 6:04 AM ETYum! Brands, Inc. (YUM) StockYUM
RCK Analytics
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Summary

  • In the last five years, Yum! Brands’ total revenue grew at a CAGR of 2.9%.
  • Sales for all its four divisions grew impressively in the latest quarter.
  • The company’s operations are diversified both in terms of offerings as well as geography.
  • In the long term, the company aims for global system same-store sales growth of 2%-3% and global unit growth of around 4%-5%.

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Investment Thesis

Yum! Brands has shown good growth in sales in all the four divisions in the latest quarter. In the past five years, the company has been able to generate good returns on capital employed and maintain

This article was written by

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We provide end-to-end financial research services across asset classes. We are passionate about stocks and investments. We take pride in providing invaluable investing insights in an easy-to-understand way. .Chandan Khandelwal leads RCK, as its co-founder & CEO. He is a Chartered Accountant and Financial Consultant with more than 15 years of experience in Finance, Stock Market, Assurance and Business Advisory.

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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