Yum! Brands Inc. Fourth Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Yum! Brands, Inc. (NYSE:YUM) will unveil its latest earnings on Monday, February 6, 2012. Yum Brands develops, operates, franchises and licenses a system of restaurants.

Yum! Brands, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 74 cents per share, a rise of 17.5% from the company’s actual earnings for the same quarter a year ago. The average estimate is the same as three months ago. Between one and three months ago, the average estimate was unchanged. It also has not changed during the last month. For the year, analysts are projecting profit of $2.86 per share, a rise of 13% from last year.

Past Earnings Performance: The company is looking to top estimates for the third straight quarter. Last quarter, it reported net income of 83 cents per share against a mean estimate of profit of 82 cents, and the quarter before, the company exceeded forecasts by 5 cents with net income of 66 cents versus a mean estimate of profit of 61 cents.

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Wall St. Revenue Expectations: On average, analysts predict $4.03 billion in revenue this quarter, a rise of 13.2% from the year ago quarter. Analysts are forecasting total revenue of $12.54 billion for the year, a rise of 10.6% from last year’s revenue of $11.34 billion.

Analyst Ratings: Analysts are bullish on this stock with 13 analysts rating it as a buy, none rating it as a sell and five rating it as a hold.

A Look Back: In the third quarter, profit rose 7.3% to $383 million (80 cents a share) from $357 million (74 cents a share) the year earlier, exceeding analyst expectations. Revenue rose 14.4% to $3.27 billion from $2.86 billion.

Key Stats:

The company has seen net income rise in three straight quarters. Net income rose 10.5% in the second quarter and 9.5% in the first quarter.

Revenue has risen the past four quarters. Revenue rose 9.4% in the second quarter from the year earlier, climbed 3.4% in the first quarter from the year-ago quarter and 5.9% in the fourth quarter of the last fiscal year.

Stock Price Performance: During November 2, 2011 to January 31, 2012, the stock price had risen $10.43 (19.7%) from $52.90 to $63.33. The stock price saw one of its best stretches over the last year between September 9, 2011 and September 19, 2011 when shares rose for seven-straight days, rising 6.3% (+$3.21) over that span. It saw one of its worst periods between September 27, 2011 and October 3, 2011 when shares fell for five-straight days, falling 9.2% (-$4.86) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com