Yum! Brands, Inc. (NYSE:YUM) — This company develops, operates, franchises and licenses a system of 110 restaurants, specializing in chicken, pizza, Mexican and quick-service seafood.
The stock has been in a bull market for over 10 years. In early March, the stock broke from $36 to $44 in just six weeks, but then entered a period of consolidation with support at $39 and resistance at $42.
A new stochastic buy signal could result in a breakout and a run to over $48. But even if YUM fails to make a new high now, its record indicates that higher returns for current buyers are likely.
Credit Suisse Equity Research has an “outperform” rating on YUM with a target of $50.
If you have questions or comments for Sam Collins, please e-mail him at samailc@cox.net.
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