Good News on the YUM Front
By Jim Bauer
@porwest (112804)
United States
February 8, 2023 8:45am CST
If I have not mentioned it before, I own shares of stock in Yum! Brands, which owns the restaurant chains Taco Bell, Kentucky Fried Chicken, Pizza Hut and The Habit Burger Grill.
It has always been an "odd" position for me in a way since I prefer Lee's Famous Recipe Chicken over KFC—although I do get food there sometimes—and I never eat at Pizza Hut at all.
I prefer Pizza World and Dominoes with Pizza Word being the dominant choice when I get pizza.
But I do like Taco Bell, and while I do not eat there often, I eat there enough.
I have never been to a Habit, but I have to admit their menu options look rather enticing, and I always did like the "char" taste similar to Burger King (a company I also own). The Habit calls their burgers "chargrilled" while Burger King says theirs are "charbroiled."
But the idea is pretty much the same. The burgers are cooked over an open flame.
Essentially, when it comes to investing in a company, you are not always interested in investing in what interests you, but rather what interests everyone else. Thus, profits, man.
Thanks to Taco Bell's popularity busting at the seams and noting that Taco Bell has long been Yum's strongest brand, Yum! beat all earnings expectations and the stock is expected to reflect that in the next couple of trading days.
I won't sell shares to take any profits. And I will definitely add shares as I see strong future value ahead for the company—and with The Habit in rapid expansion mode and doing very well financially—I think there is quite a lot of future upside potential and that makes Yum! an ongoing interesting investment.
One other interesting fact about Yum! Brands before I sign off? Did you know that KFC is more popular in China than in the United States? Now you know.
10 people like this
7 responses
@moffittjc (128833)
• Gainesville, Florida
9 Feb 23
You should see all of the Taco Bell's here in Gainesville (home to the University of Florida and 50,000+ students) at about 2:00am after the college bars all close. I'm not kidding there are lines of cars that are sometimes a mile long. It's good cheap food that drunk college kids love to grab as they head home from a night of partying.
1 person likes this

@moffittjc (128833)
• Gainesville, Florida
17 Aug 24
@porwest You wouldn't believe how many late night drunken escapades ended with a run to Taco Bell. They hit a gold mine by staying open late and catering to the drunken crowd. I don't know if it's like that everywhere across the country, but I live in a college town and I wouldn't be surprised if our local Taco Bells made 75-80% of their daily sales after midnight. I kid you not, there's been nights where I've drive by a Taco Bell and I'd swear there was more than 50 cars lined up in the drive-thru.
1 person likes this
@porwest (112804)
• United States
14 Aug 24
Taco Bell actually became (if I remember correctly) the first fast food chain to be open late, and it was a major marketing campaign. They saw a market for that in Denny's and all night cafes that were getting the drunks and they figured, "Hey, greasy tacos are perfect for drunks and we sell those," and thus, "Open Late," became a Taco Bell thing.
1 person likes this
@porwest (112804)
• United States
19 Aug 24
@moffittjc Oh no, it's DEFINITELY a thing. No doubt about it.
1 person likes this

@LindaOHio (222280)
• United States
8 Feb 23
The Taco Bell line is always long at our local drive-through.
1 person likes this

@moffittjc (128833)
• Gainesville, Florida
9 Feb 23
@porwest I love BK, and part of the reason I like to eat there (besides the food) is because there is never a line in the drive-thru, and never a wait if I order inside. You aren't kidding about a lack of cars in their parking lots. Maybe that creepy king guy scared everyone away.
1 person likes this
@LindaOHio (222280)
• United States
8 Feb 23
@porwest I agree, especially about the creepy king!!!
1 person likes this
@porwest (112804)
• United States
8 Feb 23
Lines are always an important indicator of how well a business is doing in attracting customers. It seems obvious, but those lines also tell other stories similar to the "parking lot test" I have spoken about often.
The length of the lines is as important as what kind of cars are in the line. In other words, what type of customer is being attracted tells you a lot about what the potential spend of each customer may be.
Parking lots are similar. How many cars are there and what kind of cars are they?
I am an investor in QSR, which is Restaurant Brands International, which owns Burger King. One thing I have always noticed about Burger King parking lots and drive through lines is...
There are never a lot of cars there. Granted, it does depend on the location and the age of the store. But it has always been an issue and Burger King, while successful, has always struggled to convince customers to eat there.
I still think they have a good business, but they are missing a lot of marks, and I think when it comes to marketing themselves, Burger King has historically done a very bad job, from creepy Kings to the new "You Rule" campaign.
They're just not strong marketing campaigns and I think Burger King is long overdue for a bit of reimaging.
2 people like this

@RebeccasFarm (91299)
• United States
8 Feb 23
Yes I did know that about KFC.
Fast food purchases are a rarity in this house or even out.
But yesterday we did get some good deal on Chinese on UberEats..yum.
1 person likes this


@Marilynda1225 (91064)
• United States
8 Feb 23
I never heard of Habit Grill but your burger and fries look good in the picture. I do have a Taco Bell and KFC nearby and although we don't frequent them often I'm happy to know that when I do I'm participating in your profits

1 person likes this
@porwest (112804)
• United States
9 Feb 23
I only know of it through my association with Yum! But it definitely looks good as I have perused their menu. I mean, it's a burger place so I'd not be THAT excited about it. But it's nice to have something a bit different from time to time.
Maybe one day I will get to one, or there will be one that opens up near me.
As for the profits contribution...yes, yes. Thank you. Every penny counts. Thumbs up and mouths open. Eat up. lol
1 person likes this
@Marilynda1225 (91064)
• United States
9 Feb 23
@porwest maybe one day a Habit Grill will open up here too. Our only choices nearby are Wendy's, McDonalds and Burger King.
1 person likes this
@porwest (112804)
• United States
9 Feb 23
@Marilynda1225 We have a crap ton here. For whatever reason. Rasing Cane's, Popeye's, Burger King, Freddy's, Arby's, Subway, Firehouse Subs, Penn Station subs, Chipotle, St. Louis Bread Co (Panera's)...I could go on and on and on.
@lovebuglena (52167)
• Staten Island, New York
9 Feb 23
Don't remember the last time I had fast food. Don't think I've ever been to Taco Bell lol.
1 person likes this
@lovebuglena (52167)
• Staten Island, New York
17 Feb 23
@porwest Some fast food is actually pretty good. But sometimes it's nasty and terrible.
1 person likes this
@porwest (112804)
• United States
20 Feb 23
@lovebuglena There are some places I don't prefer, but few I generally don't like at least something on the menu.
1 person likes this
@Tampa_girl7 (54715)
• United States
8 Feb 23
I didn’t know that KFC was so popular in China.
1 person likes this










