Yum China (NYSE:YUMC) Receives Average Recommendation of “Moderate Buy” from Brokerages

Shares of Yum China (NYSE:YUMC) have been assigned a consensus rating of “Moderate Buy” from the four brokerages that are covering the firm, MarketBeat reports. One equities research analyst has rated the stock with a hold rating and three have given a buy rating to the company. The average 12-month price target among analysts that have issued a report on the stock in the last year is $59.0467.

Several research analysts have recently commented on the company. Weiss Ratings downgraded Yum China from a “hold (c+)” rating to a “hold (c)” rating in a research note on Tuesday, May 26th. Wall Street Zen upgraded Yum China from a “hold” rating to a “buy” rating in a research note on Saturday, June 27th.

Yum China Stock Performance

Shares of NYSE YUMC opened at $42.30 on Friday. The company has a debt-to-equity ratio of 0.01, a quick ratio of 0.83 and a current ratio of 1.01. The stock has a 50 day moving average price of $43.93 and a 200 day moving average price of $48.37. The stock has a market capitalization of $14.77 billion, a PE ratio of 16.21, a price-to-earnings-growth ratio of 1.19 and a beta of 0.10. Yum China has a 52 week low of $40.15 and a 52 week high of $58.39.

Yum China (NYSE:YUMC) last released its quarterly earnings data on Wednesday, April 29th. The company reported $0.87 earnings per share for the quarter, hitting the consensus estimate of $0.87. The company had revenue of $3.27 billion for the quarter, compared to analyst estimates of $3.21 billion. Yum China had a net margin of 7.83% and a return on equity of 15.11%. Yum China’s revenue for the quarter was up 9.7% compared to the same quarter last year. During the same period in the previous year, the business earned $0.77 EPS. Analysts predict that Yum China will post 2.94 earnings per share for the current fiscal year.

Yum China Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, June 17th. Stockholders of record on Wednesday, May 27th were given a $0.29 dividend. The ex-dividend date of this dividend was Wednesday, May 27th. This represents a $1.16 annualized dividend and a dividend yield of 2.7%. Yum China’s dividend payout ratio is presently 44.44%.

Hedge Funds Weigh In On Yum China

A number of hedge funds have recently bought and sold shares of the business. Hudson Bay Capital Management LP acquired a new position in Yum China during the 3rd quarter worth about $3,944,000. Nordea Investment Management AB increased its stake in shares of Yum China by 9.1% in the fourth quarter. Nordea Investment Management AB now owns 1,131,822 shares of the company’s stock valued at $54,011,000 after buying an additional 94,788 shares during the period. Principal Financial Group Inc. increased its stake in shares of Yum China by 8.9% in the fourth quarter. Principal Financial Group Inc. now owns 21,957,111 shares of the company’s stock valued at $1,039,945,000 after buying an additional 1,787,450 shares during the period. Centiva Capital LP bought a new position in shares of Yum China during the third quarter worth about $1,216,000. Finally, Temasek Holdings Private Ltd raised its stake in Yum China by 25.1% during the third quarter. Temasek Holdings Private Ltd now owns 4,654,717 shares of the company’s stock worth $199,780,000 after buying an additional 932,859 shares during the last quarter. 85.58% of the stock is owned by institutional investors.

About Yum China

Yum China Holdings, Inc operates as the largest quick-service restaurant company in China, through its ownership and franchising of brands such as KFC, Pizza Hut and Taco Bell. The company’s core business encompasses full-service and fast‐casual dining, takeout and delivery channels, as well as ancillary services including loyalty programs and digital ordering platforms. Yum China’s restaurants offer a diverse menu that adapts global brand concepts to local consumer preferences, featuring items such as soy‐marinated chicken, customized pizzas and region‐inspired side dishes.

In addition to its signature brands, Yum China has expanded its portfolio to include innovative concepts tailored to evolving market trends, such as plant‐based offerings, self‐service kiosks and mobile app integrations.