Yum! Brands, Inc.

YUM: Is Yum! Brands, Inc. Halal?

Yum! Brands, Inc.

NYSEConsumer CyclicalUS

$147.91

+1.94%

Market Cap: 40.8B

Compliance Status

Doubtful

Screened on Jul 18, 2026 · AAOIFI Standard 21

B

Acceptable

67Score

Is Yum! Brands, Inc. (YUM) halal? Doubtful. Based on AAOIFI screening, Yum! Brands, Inc. passes the business activity screen but has financial ratios approaching AAOIFI limits with a compliance score of 67/100 (Grade: B).

Business activity

What the company sells is permissible.

Passed

Company debt

Close to the limit

How much the company borrows, compared to its total value. AAOIFI allows up to 30%.

26.0% of 30.0% limit

What this means for you

You may own YUM, with caution

Its numbers sit close to AAOIFI limits. Cautious investors may prefer alternatives or ask a scholar first.

Purify 2% of your income from YUM

That is about $2.00 of every $100 you earn from it. Donate this share to charity.

Calculate my exact amount

About Yum! Brands, Inc.

YUM! Brands, Inc. (YUM) is a leading global quick-service restaurant enterprise that focuses on the creation, management, and franchising of its restaurant concepts internationally. Its business is organized into four main divisions: KFC, Taco Bell, Pizza Hut, and The Habit Burger Grill. The company operates establishments under these well-known brands, offering diverse food categories such as chicken, pizza, Mexican-style dishes, and made-to-order chargrilled burgers and sandwiches, among other food products. As of December 31, 2021, YUM! Brands boasted a significant worldwide presence, comprising 26,934 KFC outlets, 18,381 Pizza Hut locations, 7,791 Taco Bell restaurants, and 318 The Habit Burger Grill units, spread across roughly 157 countries and territories. The company, which maintains its headquarters in Louisville, Kentucky, was established in 1997. It was formerly known as TRICON Global Restaurants, Inc., before officially adopting the name YUM! Brands, Inc. in May 2002.

Sector: Consumer Cyclical · Industry: Restaurants

Why This Stock Is Doubtful

  • Debt is 26.0% of market cap, only 4.0 points below the 30% AAOIFI limit

Stocks are marked Doubtful when financial ratios pass but approach AAOIFI thresholds. Consider consulting a qualified scholar for a definitive ruling.

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 18, 2026

Business Activity Screen

Passed

Checks if the business is involved in prohibited activities (alcohol, gambling, pork, conventional banking, etc.)

Peripheral exposure (still halal, purify this share)
2.0%

Primary business is permissible. AAOIFI allows up to 5% revenue from incidental non-compliant sources, provided the share is purified.

  • Restaurants: estimated 2.0% peripheral exposure (AAOIFI industry average)

Use the Purification Calculator to compute exactly how much of your dividend income to donate.

Compliance History

  1. Doubtfulnow

    since Jun 2026

  2. Halal

    until the change above

  3. Not Halal

    until the change above

Tracked since May 2026. Updates automatically on each re-screen.

Fiscal: Q1 2026Data source: EDGAR
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Frequently Asked Questions

Is Yum! Brands, Inc. (YUM) halal to invest in?
Yum! Brands, Inc. (YUM) is rated Doubtful under AAOIFI Standard 21. It passes the business activity screen but one or more financial ratios are approaching (though not yet exceeding) the AAOIFI thresholds (30% for debt and interest deposits, 5% for prohibited income). Consult a qualified Islamic finance scholar for a personal ruling.
Why did Yum! Brands, Inc. get a B compliance rating?
Yum! Brands, Inc. (YUM) received a grade of B (Acceptable) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 26.0% (limit 30%); interest-bearing deposits of 1.8% (limit 30%); prohibited income of 0.00% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Yum! Brands, Inc.'s Shariah verdict?
Yum! Brands, Inc.'s verdict is re-evaluated at each annual re-screen. Three events could change it: (1) the debt-to-market-cap ratio crossing 30%, typically from new debt issuance or a major drop in share price; (2) interest-bearing deposits exceeding 30% of market cap; or (3) prohibited revenue (alcohol, gambling, conventional finance, etc.) exceeding 5% of total revenue. Verdict flips are tracked in the compliance history section above.
How often is Yum! Brands, Inc. re-screened for Shariah compliance?
Yum! Brands, Inc. (YUM) is re-screened annually using the most recent full-year financial data from SEC filings. HalalScreener also triggers an on-demand re-screen whenever the stored data is more than 7 days old, ensuring the ratios reflect the latest available financial statements. Last screened: Jul 18, 2026.

Screened according to AAOIFI Standard No. 21 · For informational purposes only. Consult a qualified Islamic finance advisor before investing.

Disclaimer: This screening is for informational purposes only and does not constitute financial, legal, or religious advice. Compliance is evaluated using AAOIFI financial standards (debt, deposits, and prohibited income ratios) and publicly available data. Ethical, political, social, or environmental considerations are outside the scope of this screening. Individual scholars and methodologies may differ. Always consult a qualified Islamic finance advisor before making investment decisions.