YUM! BRANDS INC (TGR.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:TGR • US9884981013
129.85 EUR
-1.3 (-0.99%)
Last: Jan 23, 2026, 07:00 PM
TGR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 62 industry peers in the Hotels, Restaurants & Leisure industry. TGR scores excellent on profitability, but there are some minor concerns on its financial health. While showing a medium growth rate, TGR is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- In the past year TGR was profitable.
- In the past year TGR had a positive cash flow from operations.
- Each year in the past 5 years TGR has been profitable.
- TGR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- TGR's Return On Assets of 20.12% is amongst the best of the industry. TGR outperforms 98.39% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 36.61%, TGR belongs to the top of the industry, outperforming 98.39% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for TGR is significantly above the industry average of 12.01%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.12% | ||
| ROE | N/A | ||
| ROIC | 36.61% |
ROA(3y)23.46%
ROA(5y)22.45%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)40.31%
ROIC(5y)38.47%
1.3 Margins
- With an excellent Profit Margin value of 17.95%, TGR belongs to the best of the industry, outperforming 87.10% of the companies in the same industry.
- In the last couple of years the Profit Margin of TGR has declined.
- Looking at the Operating Margin, with a value of 32.23%, TGR belongs to the top of the industry, outperforming 93.55% of the companies in the same industry.
- TGR's Operating Margin has been stable in the last couple of years.
- TGR has a Gross Margin (46.40%) which is in line with its industry peers.
- In the last couple of years the Gross Margin of TGR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.23% | ||
| PM (TTM) | 17.95% | ||
| GM | 46.4% |
OM growth 3Y1.43%
OM growth 5Y-0.24%
PM growth 3Y-6.29%
PM growth 5Y-3.17%
GM growth 3Y-0.26%
GM growth 5Y-1.04%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so TGR is creating value.
- Compared to 1 year ago, TGR has less shares outstanding
- Compared to 5 years ago, TGR has less shares outstanding
- TGR has a better debt/assets ratio than last year.
2.2 Solvency
- TGR has an Altman-Z score of 2.83. This is not the best score and indicates that TGR is in the grey zone with still only limited risk for bankruptcy at the moment.
- The Altman-Z score of TGR (2.83) is better than 72.58% of its industry peers.
- TGR has a debt to FCF ratio of 7.38. This is a slightly negative value and a sign of low solvency as TGR would need 7.38 years to pay back of all of its debts.
- With a Debt to FCF ratio value of 7.38, TGR perfoms like the industry average, outperforming 41.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 7.38 | ||
| Altman-Z | 2.83 |
ROIC/WACC4.77
WACC7.68%
2.3 Liquidity
- A Current Ratio of 1.69 indicates that TGR should not have too much problems paying its short term obligations.
- TGR's Current ratio of 1.69 is amongst the best of the industry. TGR outperforms 93.55% of its industry peers.
- TGR has a Quick Ratio of 1.69. This is a normal value and indicates that TGR is financially healthy and should not expect problems in meeting its short term obligations.
- With an excellent Quick ratio value of 1.69, TGR belongs to the best of the industry, outperforming 93.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.69 | ||
| Quick Ratio | 1.69 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 15.59% over the past year.
- TGR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.07% yearly.
- TGR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.60%.
- The Revenue has been growing slightly by 6.17% on average over the past years.
EPS 1Y (TTM)15.59%
EPS 3Y7.03%
EPS 5Y9.07%
EPS Q2Q%15.33%
Revenue 1Y (TTM)11.6%
Revenue growth 3Y4.66%
Revenue growth 5Y6.17%
Sales Q2Q%8.38%
3.2 Future
- TGR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.24% yearly.
- Based on estimates for the next years, TGR will show a small growth in Revenue. The Revenue will grow by 7.40% on average per year.
EPS Next Y12.29%
EPS Next 2Y10.84%
EPS Next 3Y11.04%
EPS Next 5Y11.24%
Revenue Next Year8.35%
Revenue Next 2Y9.04%
Revenue Next 3Y8.13%
Revenue Next 5Y7.4%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 26.23, the valuation of TGR can be described as expensive.
- Compared to the rest of the industry, the Price/Earnings ratio of TGR is on the same level as its industry peers.
- TGR's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.30.
- A Price/Forward Earnings ratio of 23.08 indicates a rather expensive valuation of TGR.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of TGR is on the same level as its industry peers.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. TGR is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.23 | ||
| Fwd PE | 23.08 |
4.2 Price Multiples
- TGR's Enterprise Value to EBITDA ratio is in line with the industry average.
- The rest of the industry has a similar Price/Free Cash Flow ratio as TGR.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.57 | ||
| EV/EBITDA | 19.22 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TGR does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of TGR may justify a higher PE ratio.
PEG (NY)2.13
PEG (5Y)2.89
EPS Next 2Y10.84%
EPS Next 3Y11.04%
5. Dividend
5.1 Amount
- TGR has a Yearly Dividend Yield of 1.89%.
- Compared to an average industry Dividend Yield of 1.36, TGR pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, TGR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.89% |
5.2 History
- On average, the dividend of TGR grows each year by 9.75%, which is quite nice.
Dividend Growth(5Y)9.75%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
- TGR pays out 53.84% of its income as dividend. This is a bit on the high side, but may be sustainable.
- The dividend of TGR is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP53.84%
EPS Next 2Y10.84%
EPS Next 3Y11.04%
YUM! BRANDS INC / TGR.DE FAQ
Can you provide the ChartMill fundamental rating for YUM! BRANDS INC?
ChartMill assigns a fundamental rating of 6 / 10 to TGR.DE.
Can you provide the valuation status for YUM! BRANDS INC?
ChartMill assigns a valuation rating of 2 / 10 to YUM! BRANDS INC (TGR.DE). This can be considered as Overvalued.
How profitable is YUM! BRANDS INC (TGR.DE) stock?
YUM! BRANDS INC (TGR.DE) has a profitability rating of 7 / 10.
What is the valuation of YUM! BRANDS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for YUM! BRANDS INC (TGR.DE) is 26.23 and the Price/Book (PB) ratio is -5.75.
What is the expected EPS growth for YUM! BRANDS INC (TGR.DE) stock?
The Earnings per Share (EPS) of YUM! BRANDS INC (TGR.DE) is expected to grow by 12.29% in the next year.