Latest Ratios: P/E Ratio 30.1x · EV/EBITDA 21.0x · ROE N/A. (1997–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $46.3B | $42.1B | $38.2B | $37.2B | $37.1B | $41.9B | $33.3B | $31.5B | $30.2B | $29.0B | $25.3B |
| Enterprise Value | $57.5B | $53.3B | $49.9B | $48.8B | $49.4B | $53.6B | $44.2B | $42.2B | $40.0B | $37.3B | $33.7B |
| P/E Ratio → | 30.12 | 27.21 | 25.70 | 23.33 | 28.03 | 26.60 | 36.93 | 24.39 | 19.60 | 21.65 | 15.45 |
| P/S Ratio | 5.64 | 5.12 | 5.06 | 5.26 | 5.43 | 6.37 | 5.90 | 5.63 | 5.32 | 4.93 | 3.99 |
| P/B Ratio | — | — | — | — | — | — | — | — | — | — | — |
| P/FCF | 28.25 | 25.66 | 26.70 | 28.25 | 32.35 | 28.41 | 29.11 | 28.18 | 32.10 | 40.69 | 32.39 |
| P/OCF | 23.03 | 20.92 | 22.64 | 23.23 | 26.03 | 24.58 | 25.54 | 23.98 | 25.72 | 28.13 | 21.04 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 6.48 | 6.61 | 6.89 | 7.23 | 8.14 | 7.83 | 7.54 | 7.04 | 6.34 | 5.31 |
| EV / EBITDA | 21.02 | 19.47 | 19.36 | 19.73 | 21.19 | 23.26 | 26.83 | 20.66 | 16.45 | 12.36 | 16.93 |
| EV / EBIT | 22.73 | 20.67 | 20.89 | 20.92 | 22.58 | 24.16 | 28.31 | 22.70 | 17.47 | 13.70 | 20.42 |
| EV / FCF | — | 32.49 | 34.85 | 36.99 | 43.06 | 36.30 | 38.64 | 37.71 | 42.49 | 52.32 | 43.14 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 46.2% | 46.2% | 47.5% | 49.4% | 48.3% | 48.1% | 47.5% | 50.3% | 46.7% | 45.7% | 41.9% |
| Operating Margin | 30.8% | 30.8% | 31.8% | 32.8% | 32.0% | 32.5% | 26.6% | 34.5% | 40.4% | 47.0% | 26.5% |
| Net Profit Margin | 19.0% | 19.0% | 19.7% | 22.6% | 19.4% | 23.9% | 16.0% | 23.1% | 27.1% | 22.8% | 25.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | — | — | — | — | — | — | — | — | — | — | 415.4% |
| ROA | 20.9% | 20.9% | 22.9% | 26.4% | 22.4% | 26.7% | 16.3% | 27.6% | 32.7% | 24.8% | 24.2% |
| ROIC | 48.1% | 48.1% | 46.9% | 49.1% | 49.1% | 51.0% | 39.7% | 64.3% | 90.6% | 40.6% | 20.3% |
| ROCE | 41.7% | 41.7% | 46.2% | 50.7% | 50.1% | 49.0% | 38.2% | 59.2% | 69.3% | 69.8% | 37.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | — | — | — | — | — | — | — | — | — | — | — |
| Debt / EBITDA | 4.35 | 4.35 | 4.77 | 4.87 | 5.43 | 5.27 | 7.06 | 5.52 | 4.14 | 3.25 | 4.58 |
| Net Debt / Equity | — | — | — | — | — | — | — | — | — | — | — |
| Net Debt / EBITDA | 4.09 | 4.09 | 4.53 | 4.66 | 5.27 | 5.05 | 6.62 | 5.22 | 4.02 | 2.75 | 4.22 |
| Debt / FCF | — | 6.83 | 8.15 | 8.74 | 10.71 | 7.89 | 9.53 | 9.53 | 10.38 | 11.63 | 10.74 |
| Interest Coverage | 5.15 | 5.15 | 4.89 | 4.54 | 4.15 | 4.08 | 2.88 | 3.83 | 5.07 | 6.11 | 5.42 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.35 | 1.35 | 1.47 | 1.26 | 0.97 | 1.08 | 1.01 | 0.99 | 0.93 | 1.66 | 1.08 |
| Quick Ratio | 1.35 | 1.35 | 1.47 | 1.26 | 0.97 | 1.08 | 1.01 | 0.99 | 0.93 | 1.65 | 1.06 |
| Cash Ratio | 0.47 | 0.47 | 0.56 | 0.40 | 0.22 | 0.34 | 0.44 | 0.39 | 0.22 | 1.01 | 0.51 |
| Asset Turnover | — | 1.00 | 1.12 | 1.14 | 1.17 | 1.10 | 0.97 | 1.07 | 1.38 | 1.11 | 1.16 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | 245.46 | 99.73 |
| Days Sales Outstanding | — | 37.37 | 40.13 | 39.05 | 36.28 | 35.81 | 36.75 | 40.63 | 38.31 | 35.71 | 23.77 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.7% | 1.9% | 2.0% | 1.8% | 1.7% | 1.4% | 1.7% | 1.6% | 1.5% | 1.4% | 2.9% |
| Payout Ratio | 50.6% | 50.6% | 50.6% | 42.5% | 49.0% | 37.6% | 62.6% | 39.5% | 30.0% | 31.0% | 45.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.3% | 3.7% | 3.9% | 4.3% | 3.6% | 3.8% | 2.7% | 4.1% | 5.1% | 4.6% | 6.5% |
| FCF Yield | 3.5% | 3.9% | 3.7% | 3.5% | 3.1% | 3.5% | 3.4% | 3.5% | 3.1% | 2.5% | 3.1% |
| Buyback Yield | 1.2% | 1.3% | 1.2% | 0.1% | 3.2% | 3.8% | 0.7% | 2.6% | 7.9% | 6.8% | 21.3% |
| Total Shareholder Yield | 2.9% | 3.2% | 3.1% | 2.0% | 5.0% | 5.2% | 2.4% | 4.2% | 9.4% | 8.2% | 24.3% |
| Shares Outstanding | — | $278M | $285M | $285M | $290M | $302M | $307M | $313M | $329M | $355M | $400M |
Negative Equity Position
According to current market data, YUM trades at a forward P/E of 23.13, which suggests investors are pricing in a growth premium that exceeds the valuation of peers like McDonald's, potentially reflecting optimism regarding the company's digital platform scalability rather than just its traditional restaurant unit growth.
The current valuation multiple appears to be a bet on the company's ability to leverage its centralized digital infrastructure to drive higher royalty yields. Investors should monitor whether this premium is sustainable if unit growth in the Pizza Hut segment continues to show volatility compared to the more dominant Taco Bell and KFC brands.
Based on reported figures, YUM's ROIC has fluctuated between 11.8% and 16.1% over the last ten quarters, indicating that while the asset-light model generates strong returns, the company's persistent negative equity position complicates traditional return on equity analysis, making ROIC the more reliable metric for performance.
The ability to maintain double-digit ROIC despite a negative equity base suggests that the company's core royalty-generating assets are highly productive. However, the reliance on debt to fund capital returns warrants further investigation into whether these returns are being artificially inflated by the lack of a traditional equity cushion.
As reported in financial statements, YUM's DSO has fluctuated between 31 and 41 days over the past ten quarters, suggesting that while the franchisor model is generally efficient, the company's ability to collect royalties remains sensitive to the operational health and payment cycles of its global franchisee base.
The variability in DSO may indicate shifting credit terms or regional economic pressures impacting franchisee liquidity. Investors should monitor these trends as a leading indicator of potential stress within the system, particularly in international markets where currency volatility can delay cash conversion.
According to recent quarterly filings, YUM's current ratio dropped to 0.65 in 2026Q1 from a peak of 1.69 in 2025Q3, signaling a potential tightening of short-term liquidity that may reduce the company's immediate buffer against unexpected operational shocks or sudden capital requirements in a volatile macro environment.
This compression in the current ratio appears to be a byproduct of the company's aggressive capital return strategy, which prioritizes cash distribution over maintaining a traditional liquidity cushion. This approach may leave the company with less flexibility to navigate unforeseen industry-wide downturns or sudden spikes in commodity costs.
The most commonly misapplied metric for YUM is the Price-to-Book ratio, which is rendered effectively meaningless by the company's persistent negative equity position resulting from years of aggressive share repurchases and debt-funded capital returns, obscuring the true value of the underlying royalty-generating brand portfolio.
Analysts should instead focus on EV/EBITDA or FCF yield to gauge valuation, as these metrics account for the company's debt-heavy capital structure and its ability to generate cash from its franchised assets. Relying on book value in this context may lead to erroneous conclusions regarding the company's solvency or intrinsic worth.
Includes 30+ ratios · 29 years · Updated daily
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
See how regular investing compounds over time.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying YUM stock.
Yum! Brands, Inc.'s current P/E ratio is 30.1x. The historical average is 17.7x. This places it at the 96th percentile of its historical range.
Yum! Brands, Inc.'s current EV/EBITDA is 21.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.0x.
Based on historical data, Yum! Brands, Inc. is trading at a P/E of 30.1x. This is at the 96th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Yum! Brands, Inc.'s current dividend yield is 1.69% with a payout ratio of 50.6%.
Yum! Brands, Inc. has 46.2% gross margin and 30.8% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Yum! Brands, Inc.'s Debt/EBITDA ratio is 4.4x, indicating high leverage. A ratio above 4x may signal elevated financial risk.