Brian of PizzaspotzIf you’re interested in buying Pizza Hut stock (YUM)*, you’ll have to consider a couple other quick serve companies along with your favorite pizza place. Pizza Hut is part of YUM! Brands. They own Kentucky Fried Chicken (KFC), Taco Bell and Pizza Hut. Some of their restaurants now come with all three restaurants combined. Those are affectionately known as KenTacoHuts.
YUM! Brands actually consists of more QSR brands than those three mentioned above, their roster also includes A&W, Wing Street, Long John Silvers, Pasta Bravo and East Dawning. They are the largest fast food company in the world with over 35,000 restaurants in 110 countries. YUM Brands (YUM) has been an amazing growth stock. Looking at their chart for every interval, the stock has proven to be a great buy.
One of the reasons for the strong growth in YUM Brands is overseas expansion. YUM! Brands has three divisions for its restaurants. China is its own division, there is the international division and the U.S. Yum! Restaurants India, over the next year has plans to invest about $100 million USD. This huge investment in India will triple the amount of stores YUM! has in India. By 2015, there will be over 1000 stores. The spur in growth of YUM! is occurring in two countries for the most part, China and India. These countries are driving growth and will continue to do so for about the next two decades.
I read on Seeking Alpha there are quite a few analysts who predict a 12% earnings growth for the next five years. This bodes well for the stock and it’s trading at a good discount. Check out YUM! Brands. If only I had done so about ten years ago and held it. The stock in that time has gone from about $24 a share to $77.
If you want to buy Pizza Hut stock, you’ve made a good decision, but remember that along with it, comes Taco Bell, Long John Silvers, KFC and much more.
(info as of 4/3/2014)
* Disclaimer: I am not a stock professional. Buy all stocks at your own risk.
.