Yum! Brands (YUM) Partners with NVIDIA to Revolutionize AI in Restaurants

We recently published a list of 10 High-Flying AI Stocks This Week. In this article, we are going to take a look at where Yum! Brands, Inc. (NYSE:YUM) stands against other high-flying AI stocks this week.

The proliferation of advanced artificial intelligence innovations and solutions is fueling the rise of cybercrime. AI-generated cyber-attacks are the new frontier keeping companies, businesses, and governments on their toes, given the speed at which they occur and how effective some of them are.

Cybercriminals are focusing on individuals and companies worldwide by employing advanced methods and elusive scams that can deceive even seasoned professionals. According to a report by Cybersecurity Ventures, it is projected that the financial impact of cyber-attacks will surpass $10 trillion this year, 2025.

Nearly four out of five chief internal auditors (78%) think AI would have a negative influence on data security and cyber security. In contrast, 58% think it will make fraud worse, according to a recent Chartered Institute of Internal Auditors report.

The opinions of internal audit and risk management specialists around Europe are reflected in a survey of 985 chief audit executives from 17 countries. It also highlights how company executives are becoming increasingly concerned about the hazards posed by AI.

Meanwhile, the law enforcement agency of the European Union is warning that artificial intelligence is significantly accelerating organized crime to the point of weakening foundational structures while additionally supporting state-backed destabilization efforts.

“Cybercrime is evolving into a digital arms race targeting governments, businesses and individuals. AI-driven attacks are becoming more precise and devastating. Some attacks show a combination of motives of profit and destabilization, as they are increasingly state-aligned and ideologically motivated,” said Europol’s Executive Director Catherine De Bolle.

According to the report titled EU Serious and Organized Crime Threat Assessment 2025, crimes such as drug trafficking, human smuggling, money laundering, cyber-attacks, and online fraud are eroding societal norms and the rule of law by producing illegal profits, inciting violence, and normalizing corruption.

The report noted that artificial intelligence and various technologies catalyze criminal activities, enhancing the efficiency of these operations by increasing their speed, scope, and complexity. With the European Commission gearing up to introduce a new internal security policy, countries across Europe must urgently address these threats.

Phishing assaults are only one aspect of AI’s threat. Businesses are also in danger from employees using AI tools in the workplace without authorization. 28% of employers rank AI-generated cyber-attacks as their most significant business danger, indicating the growing threat of AI.

Our Methodology

For this article, we selected AI stocks by going through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds in Q4 2024.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

Yum! Brands (YUM) Partners with NVIDIA to Revolutionize AI in Restaurants

A chef in a kitchen preparing a fast food meal of chicken, pizza and burgers.

Yum! Brands, Inc. (NYSE:YUM)

Number of Hedge Fund Holders: 33

Yum! Brands, Inc. (NYSE:YUM), together with its subsidiaries, develops, operates, and franchises quick-service restaurants worldwide. The company has been integrating AI-powered solutions across its restaurant chains to help team members manage complex tasks. Likewise, on March 18, it entered into a strategic partnership with Nvidia to accelerate the deployment of innovative AI technologies in its restaurants across the globe.

Yum! Brands, Inc. (NYSE:YUM) became Nvidia’s first AI restaurant partner in the integration of AI in the restaurant and retail industry. The two companies are joining forces to transform the future of dining by unlocking scalable AI applications quickly, reliably and affordably. In order to improve team member and customer experiences, the alliance will leverage the user-friendly NVIDIA NIM microservices, a NVIDIA AI Enterprise component accessible on Amazon Web Services (AWS), to optimize and generate efficiency in restaurant operations.

“NVIDIA’s software makes it affordable for even the largest restaurant company to improve operations and customer experiences, proving AI can pay off at every location,” said Andrew Sun, Global Director of Retail, CPG and QSR Business Development, NVIDIA. “Working with Yum! Brands’ best-in-class Digital & Technology team and proprietary Byte by Yum! Platform to integrate NVIDIA AI software breaks barriers to AI innovation in the restaurant industry – delivering real-time, context-aware intelligence, powered by a scalable inference platform.”

Overall, YUM ranks 8th on our list of high-flying AI stocks this week. While we acknowledge the potential of YUM as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than YUM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.