JPMorgan analyst John Ivankoe believes shares of Yum! Brands have limited downside from current levels after the company announced that Keith Meister from Corvex has joined its board. The analyst largely supports Corvex's plan for Yum! of spinning out China to shareholders and turning the business into a franchisee. This can and should be announced on or before the company's December 10 analyst day, Ivankoe tells investors in a research note. He sees share upside to $80-plus assuming "even a modest" China turn and possible cost cuts. The analyst lowered his price target for Yum! to $80 from $87 and keeps an Overweight rating on the name.

Citi lowered the firm's price target on Yum! Brands to $162 from $166 and keeps a Buy rating on the shares ahead of the Q1 report. The analyst expects Yum continues to voice confidence in 5% unit growth, and its digital initiatives are growing sales for franchisees. The firm views the company's near-term outlook as "shakier" than the long-term.