Yum China (NYSE:YUMC) Given Consensus Rating of “Moderate Buy” by Brokerages

Shares of Yum China (NYSE:YUMC) have been given an average recommendation of “Moderate Buy” by the four brokerages that are covering the stock, Marketbeat reports. One investment analyst has rated the stock with a hold rating and three have issued a buy rating on the company. The average 1 year price objective among brokers that have issued a report on the stock in the last year is $59.0467.

A number of equities research analysts recently weighed in on YUMC shares. Jefferies Financial Group reaffirmed a “buy” rating and set a $63.64 price objective on shares of Yum China in a research report on Thursday, February 5th. The Goldman Sachs Group reaffirmed a “buy” rating and set a $58.50 target price on shares of Yum China in a report on Wednesday, February 4th. Wall Street Zen upgraded Yum China from a “hold” rating to a “buy” rating in a research report on Saturday. Weiss Ratings restated a “hold (c)” rating on shares of Yum China in a research report on Wednesday, January 21st. Finally, CLSA restated an “outperform” rating and set a $55.00 price objective on shares of Yum China in a research note on Tuesday, November 25th.

Insider Activity

In other Yum China news, insider Duoduo (Howard) Huang sold 4,888 shares of the business’s stock in a transaction dated Monday, November 24th. The shares were sold at an average price of $48.10, for a total transaction of $235,112.80. Following the completion of the transaction, the insider directly owned 22,510 shares of the company’s stock, valued at $1,082,731. The trade was a 17.84% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Jerry Ding sold 3,000 shares of the firm’s stock in a transaction that occurred on Thursday, February 5th. The shares were sold at an average price of $55.14, for a total transaction of $165,420.00. Following the completion of the sale, the insider owned 915 shares in the company, valued at $50,453.10. The trade was a 76.63% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 21,242 shares of company stock valued at $1,043,817. 0.40% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. Kingsview Wealth Management LLC increased its holdings in shares of Yum China by 22.8% during the fourth quarter. Kingsview Wealth Management LLC now owns 6,982 shares of the company’s stock valued at $333,000 after purchasing an additional 1,298 shares during the period. Morningstar Investment Management LLC grew its position in Yum China by 9.9% in the 4th quarter. Morningstar Investment Management LLC now owns 150,827 shares of the company’s stock valued at $7,172,000 after buying an additional 13,637 shares in the last quarter. Glenview Trust Co increased its stake in Yum China by 4.3% during the 4th quarter. Glenview Trust Co now owns 4,904 shares of the company’s stock valued at $234,000 after buying an additional 200 shares during the period. Todd Asset Management LLC raised its position in shares of Yum China by 0.3% during the 4th quarter. Todd Asset Management LLC now owns 843,664 shares of the company’s stock worth $40,277,000 after buying an additional 2,138 shares in the last quarter. Finally, Mondrian Investment Partners LTD lifted its stake in shares of Yum China by 112.0% in the 4th 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 period. Institutional investors and hedge funds own 85.58% of the company’s stock.

Yum China Price Performance

Shares of NYSE YUMC opened at $57.70 on Tuesday. The company has a current ratio of 1.32, a quick ratio of 1.15 and a debt-to-equity ratio of 0.01. The company has a market capitalization of $20.85 billion, a price-to-earnings ratio of 22.99, a price-to-earnings-growth ratio of 1.65 and a beta of 0.13. Yum China has a twelve month low of $41.00 and a twelve month high of $58.39. The business has a 50 day simple moving average of $48.80 and a 200-day simple moving average of $46.24.

Yum China (NYSE:YUMC) last released its quarterly earnings data on Wednesday, February 4th. The company reported $0.40 EPS for the quarter, topping analysts’ consensus estimates of $0.35 by $0.05. The firm had revenue of $2.82 billion during the quarter, compared to the consensus estimate of $2.72 billion. Yum China had a net margin of 7.87% and a return on equity of 14.46%. The firm’s revenue was up 8.8% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.30 earnings per share. As a group, equities research analysts expect that Yum China will post 2.54 earnings per share for the current year.

Yum China declared that its board has approved a stock repurchase program on Friday, December 12th that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the company to buy up to 5.8% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board believes its shares are undervalued.

Yum China Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, March 25th. Stockholders of record on Wednesday, March 4th will be given a dividend of $0.29 per share. This is an increase from Yum China’s previous quarterly dividend of $0.24. This represents a $1.16 annualized dividend and a dividend yield of 2.0%. The ex-dividend date is Wednesday, March 4th. Yum China’s payout ratio is currently 38.25%.

Yum China Company Profile

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.