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YUM (Yum Brands) Moat Score : 7/10 (As of Jul. 01, 2025)


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What is Yum Brands Moat Score?

Yum Brands has the Moat Score of 7, which implies that the company might have Wide Moat - Entry-level wide moat, clearly possessing durable advantages.

Yum Brands has Wide Moat: Yum Brands has a strong brand with deep customer loyalty, significant economies of scale, and a superior distribution network. Its global presence and franchise model provide durable cost advantages and pricing power, justifying a wide moat.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Yum Brands might have Wide Moat - Entry-level wide moat, clearly possessing durable advantages.


Competitive Comparison of Yum Brands's Moat Score

For the Restaurants subindustry, Yum Brands's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Yum Brands's Moat Score Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Yum Brands's Moat Score distribution charts can be found below:

* The bar in red indicates where Yum Brands's Moat Score falls into.


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Yum Brands  (NYSE:YUM) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Yum Brands Moat Score Related Terms

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Yum Brands Business Description

Address
1441 Gardiner Lane, Louisville, KY, USA, 40213
Yum Brands is a US-based restaurant operator featuring a portfolio of four brands: KFC (31,981 global units at year-end 2024), Pizza Hut (20,225 units), Taco Bell (8,757 units), and Habit Burger & Grill (nearly 400 units). With more than $65 billion in 2024 systemwide sales, the firm is the second-largest restaurant company in the world behind McDonald's ($131 billion). Yum is 98% franchised, with the largest franchisee, Yum China, spun out in 2016, after which Yum China agreed to pay 3% royalties to Yum Brands in perpetuity. Yum is the newest evolution of Tricon, formerly a division of PepsiCo, and generates the bulk of its revenue from franchise royalties and marketing contributions.
Executives
David W Gibbs director, officer: Chief Executive Officer 7100 CORPORATE DRIVE, PLANO TX 75024
Tracy L Skeans officer: Chief People Officer 1441 GARDINER LANE, LOUISVILLE KY 40213
David Eric Russell officer: Vice President, Controller 1441 GARDINER LANE, LOUISVILLE KY 40213
Justin Skala director C/O COLGATE-PALMOLIVE COMPANY, 300 PARK AVENUE, NEW YORK NY 10022
Graddick Weir Mirian M director 2000 GALLOPING HILL ROAD, KENILWORTH NJ 07033
Scott Catlett officer: General Counsel and Corp. Sec. 1441GARDINER LANE, LOUISVILLE KY 40213
Sabir Sami officer: Chief Executive Officer - KFC 1441 GARDINER LANE, LOUISVILLE KY 40213
Paget Leonard Alves director SPRINT NEXTEL, 6200 SPRINT PARKWAY KSOPHF0410 - 4A403, OVERLAND PARK KS 66251
Mark James King officer: CEO - Taco Bell 1441 GARDINER LANE, LOUISVILLE KY 40213
M. Brett Biggs director 702 SW 8TH STREET, BENTONVILLE AR 72716
Susan Doniz director C/O THE BOEING COMPANY, 100 RIVERSIDE PLAZA, MC 5003-1001, CHICAGO IL 60606-1596
Anthony Lowings officer: CEO, KFC Division 1441 GARDINER LANE, LOUISVILLE KY 40213
Aaron Powell officer: CEO - Pizza Hut P.O. BOX 619100, DALLAS TX 75261-9100
Lauren R Hobart director 345 COURT STREET, CORAOPOLIS PA 15275
Greg Creed officer: President Taco Bell 1441 GARDINER LANE, LOUISVILLE KY 40213