Yum China (NYSE:YUMC) Receives $59.21 Consensus Price Target from Brokerages

Yum China (NYSE:YUMC) has earned an average recommendation of “Moderate Buy” from the four ratings firms that are currently covering the company, MarketBeat.com reports. One analyst has rated the stock with a hold recommendation and three have assigned a buy recommendation to the company. The average twelve-month price objective among brokerages that have updated their coverage on the stock in the last year is $59.2133.

Several research analysts have weighed in 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 cut Yum China from a “buy” rating to a “hold” rating in a research note on Sunday. Finally, The Goldman Sachs Group reaffirmed a “buy” rating and set a $59.00 price target on shares of Yum China in a report on Thursday, July 30th.

Hedge Funds Weigh In On Yum China

Hedge funds have recently bought and sold shares of the company. Principal Financial Group Inc. raised its stake in shares of Yum China by 8.9% during the 4th quarter. Principal Financial Group Inc. now owns 21,957,111 shares of the company’s stock worth $1,039,945,000 after buying an additional 1,787,450 shares during the last quarter. Massachusetts Financial Services Co. MA increased its holdings in Yum China by 5.0% during the 4th quarter. Massachusetts Financial Services Co. MA now owns 4,971,031 shares of the company’s stock valued at $237,317,000 after acquiring an additional 236,736 shares in the last quarter. Teachers Retirement System of The State of Kentucky increased its holdings in Yum China by 42.4% during the 1st quarter. Teachers Retirement System of The State of Kentucky now owns 752,360 shares of the company’s stock valued at $36,701,000 after acquiring an additional 224,060 shares in the last quarter. Mondrian Investment Partners LTD raised its position in Yum China by 112.0% during the fourth quarter. Mondrian Investment Partners LTD now owns 7,854,198 shares of the company’s stock worth $374,959,000 after acquiring an additional 4,148,966 shares during the last quarter. Finally, M&T Bank Corp lifted its holdings in shares of Yum China by 271.1% in the fourth quarter. M&T Bank Corp now owns 171,689 shares of the company’s stock valued at $8,196,000 after purchasing an additional 125,420 shares in the last quarter. 85.58% of the stock is owned by hedge funds and other institutional investors.

Yum China Price Performance

Shares of YUMC opened at $48.21 on Tuesday. The company has a debt-to-equity ratio of 0.01, a quick ratio of 0.83 and a current ratio of 1.01. Yum China has a fifty-two week low of $40.15 and a fifty-two week high of $58.39. The firm has a 50-day simple moving average of $43.68 and a 200-day simple moving average of $47.96. The company has a market capitalization of $16.83 billion, a price-to-earnings ratio of 17.66, a price-to-earnings-growth ratio of 1.26 and a beta of 0.09.

Yum China (NYSE:YUMC) last issued its quarterly earnings results on Thursday, July 30th. The company reported $0.70 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.67 by $0.03. The firm had revenue of $3.14 billion for the quarter, compared to analysts’ expectations of $3.05 billion. Yum China had a return on equity of 15.73% and a net margin of 7.84%.The firm’s revenue for the quarter was up 12.6% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.58 EPS. On average, equities research analysts anticipate that Yum China will post 2.95 earnings per share for the current year.

Yum China Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 17th. Stockholders of record on Thursday, August 27th will be paid a $0.075 dividend. This represents a $0.30 annualized dividend and a dividend yield of 0.6%. The ex-dividend date is Thursday, August 27th. Yum China’s dividend payout ratio (DPR) is 42.49%.

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.