Analysts at RBC Capital provided their views on Yum! Brands, Inc. (NYSE:YUM) following their meeting with the company’s management, including CFO Chris Turner.

According to the analysts, the company’s restaurant development remains top of mind for investors, particularly as unit growth in Q2 remained at the 6% level (ex-Russia impact), above the company's ongoing/long-term target of 4-5%.

Driving the company’s confidence in its unit growth—which accounts for more than half of ongoing aggregate system sales growth—is the combination of compelling unit economics (despite recent inflationary pressures); pipeline visibility; and, over the last year-plus, the company’s ability to navigate broader development headwinds, including equipment supply chain issues.

Furthermore, the company pointed to the composition of its franchisee base, which it sees as a competitive advantage, given the focus of its large, well-capitalized franchisees on long-term growth, rather than short-term volatility.