Yum! Brands Inc. (YUM) exhibits 69.8% gross margins and 60.3% return on invested capital within Consumer Discretionary (Restaurants), balanced against a 16.6x enterprise multiple and 4.8% implied options volatility.
Sustained 69.8% gross profitability converts into 31.3% operating margin and 60.3% ROIC, outpacing sector cost of capital.
ROIC: 60.3% // GM: 69.8%YoY revenue trajectory of +8.8% paired with 3.89% free cash flow yield supports self-funded R&D and capital return.
REV YOY: +8.8% // FCF YLD: 3.89%Altman Z-Score of 2.55 and Piotroski F-Score of 9/9 indicate low near-term refinancing stress.
ALTMAN Z: 2.55 // F-SCORE: 9/9Trading at 27.1x trailing P/E (25.2x Fwd P/E) leaves valuation vulnerable if real 10Y TIPS yields spike.
P/E: 27.1x // EV/EBITDA: 16.6xOptions market prices a ±5.2% implied move with a 0.85 put/call ratio around $155.40 max pain.
IMPL MOVE: ±5.2% // P/C: 0.85Elevated industry capital intensity and customer concentration in Restaurants require continuous execution to defend 19.0% net margins.
NET MARGIN: 19.0% // D/E: 0.85x| FILER | SIDE | $ VALUE |
|---|---|---|
| INSPECT FULL OWNERSHIP LEDGER IN OWN <GO> | ||
| STRIKE / EXP | TYPE | PREMIUM |
|---|---|---|
| INSPECT GEX & CHAIN IN OPT <GO> | ||
Unblur the exact $50,000 delta-adjusted ETF/options hedge ratio for YUM & activate live FRED threshold breach alerts.