Despite skyrocketing food costs, Yum! Brands (YUM ) recently turned in an incredible quarter and is now trading near its 52-week high, Jim Cramer told fans of his "Mad Money" TV show Tuesday. Cramer welcomed chairman, CEO and president David Novak of Yum! Brands to the show to discuss his company's prospects.
China’s become fertile ground for the restaurant company’s big three like KFC, Taco Bell and Pizza Hut Novak told Cramer. He said that right now the number of Yum! outlets in the U.S. outnumber those in China by six-to-one, but its only a matter of time before that changes.
Novak explained that Yum beats inflation in China by raising prices and opening new stores. Novak said he wouldn't discount the impact that higher food costs are having on the industry, but "we can weather almost any storm in the business," he said, thanks to his three leading brands and the company’s global outlook. Cramer advised investors to get into YUM because its a booming international story.
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Jim Cramer Mad Money Show Review of Yum! Brands (YUM)
