Wednesday, February 5, 2014

Take a Look at YUM! Brands and V.F. Corporation

Yum! Brands runs approximately 40,000 fast food restaurants in more than 125 countries around the world. Popular names like Pizza Hut, Taco Bell, and KFC are all owned by YUM, which have been expanding rapidly in Asia. The company is currently valued at 30 billion dollars, with 30x earning multiple.  The company is a) not enormously expensive and b) priced for growth.  More interesting, the stock has a perfect 16 year history of stellar performance during the 91 days starting February 5th.  The average move over this period is a whopping 14.6%.


I hope you find the statistics above to be useful.  To equate 16 bullish years to a coin toss, the probability of someone flipping heads 16 times in a row is .0015%.  This anomaly in YUM's stock price should be noted.

Another great play is VFC.  Take a look at this amazing history:

Stay smart and trade safe!


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