KFC aims to triple its size

Article Excerpt

YUM! BRANDS INC. $120 is a buy. The company (New York symbol YUM; Aggressive Growth Portfolio; Consumer sector; Shares outstanding: 301.7 million; Market cap: $36.2 billion; Price-to-sales ratio: 6.1; Dividend yield: 1.7%; TSINetwork Rating: Average; www.yum.com) now aims to roughly triple the number of its KFC fried chicken fast-food outlets, from 25,292 to 75,000, in the next few years. Most of those new stores will be in emerging markets such as Africa, Russia and the Middle East. The expansion of online ordering and delivery service will also keep fuelling KFC’s growth. In 2020, digital sales increased by 72% to $10 billion. They accounted for 43% of all transactions compared to 20% before the pandemic. KFC also has high hopes for its new plant-based chicken products. Following a successful trial in the U.S., the chain now plans to roll out the new products to more parts of the U.S. as well as foreign markets. Yum Brands is still a buy. buy…