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Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why This 1 Growth Stock Should Be On Your Watchlist
Growth investors build their portfolios around companies that are financially strong and have a bright future, and the Growth Style Score helps take projected and historical earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.
Yum Brands (YUM)
Louisville, KY-based YUM! Brands Inc. — formerly Tricon Global Restaurants, Inc. — had spun off from PepsiCo in October 1997. YUM! Brands is the global leader in multi-branding and offers consumers more choice and convenience at one outlet. The company presently reports through four segments — KFC (41% of total 2024 revenues), Pizza Hut (13.4%), Taco Bell (37.9%) and Habit Burger Grill (7.9%).
YUM is a Zacks Rank #3 (Hold) stock, with a Growth Style Score of A and VGM Score of B. Earnings are expected to grow 9.5% year-over-year for the current fiscal year, with sales growth of 8%.
Seven analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.04 to $6 per share for 2025. YUM boasts an average earnings surprise of 0.5%.
On a historic basis, Yum Brands has generated cash flow growth of 7.3%, and is expected to report cash flow expansion of 6.6% this year.
YUM should be on investors' short lists because of its impressive growth fundamentals, a good Zacks Rank, and strong Growth and VGM Style Scores.
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Yum! Brands, Inc. (YUM) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).