Yum China (NYSE:YUMC) Upgraded at Wall Street Zen

Wall Street Zen upgraded shares of Yum China (NYSE:YUMC) from a hold rating to a buy rating in a research report report published on Monday.

Other equities research analysts have also recently issued research reports about the stock. The Goldman Sachs Group restated a “buy” rating and set a $59.00 target price on shares of Yum China in a research note on Thursday, July 30th. Weiss Ratings lowered shares of Yum China from a “hold (c+)” rating to a “hold (c)” rating in a research report on Tuesday, May 26th. Three investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $59.21.

Yum China Stock Performance

Shares of YUMC opened at $47.53 on Monday. The business has a 50-day simple moving average of $44.29 and a two-hundred day simple moving average of $47.86. The company has a quick ratio of 0.78, a current ratio of 0.96 and a debt-to-equity ratio of 0.01. Yum China has a 52 week low of $40.15 and a 52 week high of $58.39. The stock has a market cap of $16.28 billion, a price-to-earnings ratio of 17.41, a PEG ratio of 1.23 and a beta of 0.09.

Yum China (NYSE:YUMC) last posted its quarterly earnings data on Thursday, July 30th. The company reported $0.70 earnings per share for the quarter, beating analysts’ consensus estimates 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 15.82% and a net margin of 7.84%.The business’s quarterly revenue was up 12.6% on a year-over-year basis. During the same period in the previous year, the firm earned $0.58 EPS. On average, analysts expect that Yum China will post 2.95 EPS for the current year.

Yum China Dividend Announcement

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 issued a $0.29 dividend. This represents a $1.16 annualized dividend and a dividend yield of 2.4%. The ex-dividend date of this dividend is Thursday, August 27th. Yum China’s payout ratio is 42.49%.

Insider Transactions at Yum China

In related news, insider Jeff Kuai sold 14,586 shares of the stock in a transaction that occurred on Wednesday, August 12th. The stock was sold at an average price of $47.72, for a total transaction of $696,043.92. Following the completion of the transaction, the insider directly owned 63,541 shares of the company’s stock, valued at approximately $3,032,176.52. This represents a 18.67% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, insider Duoduo (Howard) Huang sold 24,096 shares of the firm’s stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $47.08, for a total value of $1,134,439.68. Following the transaction, the insider owned 7,589 shares of the company’s stock, valued at $357,290.12. This represents a 76.05% decrease in their position. The SEC filing for this sale provides additional information. 0.44% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the business. W1M Asset Management Ltd purchased a new stake in Yum China during the 2nd quarter valued at $320,227,000. Norges Bank purchased a new position in Yum China during the fourth quarter worth $280,656,000. Mondrian Investment Partners LTD increased 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 valued at $374,959,000 after acquiring an additional 4,148,966 shares during the last quarter. Bank of New York Mellon Corp bought a new position in Yum China during the second quarter valued at $146,826,000. Finally, Bank of America Corp DE purchased a new stake in shares of Yum China in the second quarter valued at $96,255,000. 85.58% of the stock is owned by hedge funds and other 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.