Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Is Yum really Yummy?
Old 06-15-2013, 03:59 PM   #1
Dryer sheet aficionado
 
Join Date: May 2013
Posts: 28
Is Yum really Yummy?

Or is McDonal'ds yummier. Looking to get a position in YUM Brands for my ROTH. Im looking to hold long term. One of my concerns is that they rely heavily on revenues from China. I am also looking into McDonald's. What are your thoughts?

Thanks
Kat
__________________

__________________
katwillny is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 06-18-2013, 05:00 AM   #2
Dryer sheet wannabe
ownyourfuture's Avatar
 
Join Date: Jun 2013
Posts: 24
For what it's worth, I own YUM in my taxable account & my IRA
Don't own McDonalds
__________________

__________________
ownyourfuture is offline   Reply With Quote
Old 06-18-2013, 06:22 AM   #3
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
clifp's Avatar
 
Join Date: Oct 2006
Posts: 7,033
Quote:
Originally Posted by katwillny View Post
Or is McDonal'ds yummier. Looking to get a position in YUM Brands for my ROTH. Im looking to hold long term. One of my concerns is that they rely heavily on revenues from China. I am also looking into McDonald's. What are your thoughts?

Thanks
Kat

To me one of the features of Yum is that is doing so well in China. The majority of KFC profits and revenues come from China and have done so for probably 5 years. China is an exciting market, but Chinese companies are IMO much less transparent than US companies. I wouldn't completely trust Yum's accounting statement for its Chinese operations but I'd trust them far more than say FoxConn.

M* rate YUM as 3 stars with a fair value of $72, and MCD as 4 stars with a fair value of 105.
__________________
clifp is offline   Reply With Quote
Old 06-18-2013, 06:37 AM   #4
Recycles dryer sheets
 
Join Date: Apr 2007
Posts: 294
YUM took a significant hit in China recently with the bird flu scare. It has also had issues in the past with food dyes and other food safety related scandals.

If you can buy on one of those downturns (probably past by now) and hold for the long-term, it might be a good investment. I believe they hold both KFC and Pizza Hut, which are amazingly successful in China. Still lots of room for growth as they expand into third tier markets (first and second tier still growing, but not as rapidly as third tier will).
__________________
lhamo is offline   Reply With Quote
Old 06-18-2013, 02:24 PM   #5
Dryer sheet aficionado
 
Join Date: May 2013
Posts: 28
Thanks for the replies. After looking further into their finances, i went ahead and purchased 50something shares in ROTH and a few more in my taxable accounts. I got in $71.61 yesterday. Thanks again.
__________________
katwillny is offline   Reply With Quote
Old 06-19-2013, 05:54 AM   #6
Dryer sheet wannabe
ownyourfuture's Avatar
 
Join Date: Jun 2013
Posts: 24
Quote:
Originally Posted by lhamo View Post
I believe they hold both KFC and Pizza Hut
Not sure if you're aware of it, but they also own taco bell

Steve
__________________

__________________
ownyourfuture is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


 

 
All times are GMT -6. The time now is 07:05 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2014, vBulletin Solutions, Inc.

Early Retirement News right to your Email!

Stay up-to-date with all the latest news to your inbox!

unsusbcribe at anytime with one click

Close [X]