YUM (Yum Brands) Quality Rank

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

YUM Yum Brands Inc YUM
90 GF Score
Price $148.92
GF Value $169.08
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Yum Brands Quality Rank?

The Quality Rank measures the business quality of a company relative to other companies. It is ranked based on the strength of the balance sheet, as well as the profitability and growth of the business. The ranked companies are split in equal numbers and then ranked from 1 to 10, with 10 being the highest.

The rank of balance sheet (30%)

The rank of balance sheet is done through the ranking of:
  • Interest coverage
  • Zscore
  • Debt to revenue
  • Equity to asset
  • Cash to debt

The rank of Profitability (70%)

The ranking of Profitability is done by ranking:
  • Operating margin mean rank (10-year mean average profit margine)
  • Operating margin growth rank
  • Fscore
  • Predictability rank
  • Revenue growth rank (5 year), when the growth is higher than 25%, set it as 25%
  • Num of year profit (number of years that is profitable within the last 10 years)
  • ROIC median (10-year median of ROIC)

Yum Brands Quality Rank Related Terms

YUM
90GF Score
Yum Brands Inc YUM
Quality Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Is Yum Brands (YUM) Overvalued in 2026?

Based on GuruFocus' analysis, Yum Brands stock appears to be undervalued. The current stock price of $148.92 is trading 11.9% below its estimated GF Value™ of $169.08. GuruFocus considers Yum Brands to be Modestly Undervalued.

Key valuation signals for YUM:

  • Quality Rank:
  • GF Value™: $169.08 vs. price of $148.92 (11.9% below fair value)
  • GF Score™: 90/100 with 3 warning signs

No single metric tells the full story. See the YUM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Yum Brands Business Description

Address 1441 Gardiner Lane, Louisville, KY, USA, 40213
As of the end of 2025, Yum Brands generated over $68 billion in systemwide sales from more than 63,000 restaurants across 155 markets, making it the world's second-largest restaurant firm by dollar sales. Its portfolio includes KFC (33,897 stores), Pizza Hut (19,974), Taco Bell (9,030), and Habit Burger (384), with 72% of locations in international markets. As 97% of its portfolio is franchised, Yum's business model is tilted toward recurring franchise royalties and marketing contributions (64% of revenue), with the balance derived from sales at company-owned locations. The company traces its roots to a 1997 spinoff of PepsiCo's restaurant assets.
90GF Score

Get the complete analysis for YUM

Quality Rank is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$148.92
Price
$169.08
GF Value