Yum China (NYSE:YUMC) Upgraded to “Buy” 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 sent to investors on Monday.

Several other research analysts also recently weighed in on the company. The Goldman Sachs Group reiterated a “buy” rating and issued a $59.00 price target on shares of Yum China in a report on Thursday, July 30th. Weiss Ratings cut Yum China from a “hold (c+)” rating to a “hold (c)” rating in a report on Tuesday, May 26th. Three equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $59.21.

Yum China Stock Performance

Shares of NYSE YUMC opened at $47.21 on Monday. The company has a 50-day simple moving average of $44.14 and a 200-day simple moving average of $47.90. The company has a debt-to-equity ratio of 0.01, a current ratio of 0.96 and a quick ratio of 0.78. The company has a market cap of $16.17 billion, a PE ratio of 17.29, a price-to-earnings-growth ratio of 1.25 and a beta of 0.09. Yum China has a 12 month low of $40.15 and a 12 month high of $58.39.

Yum China (NYSE:YUMC) last announced its quarterly earnings data 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. Yum China had a net margin of 7.84% and a return on equity of 15.82%. The business had revenue of $3.14 billion for the quarter, compared to the consensus estimate of $3.05 billion. During the same quarter in the prior year, the firm posted $0.58 earnings per share. The company’s quarterly revenue was up 12.6% compared to the same quarter last year. On average, equities analysts anticipate that Yum China will post 2.95 earnings per share for the current year.

Yum China Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 17th. Investors of record on Thursday, August 27th will be given a $0.29 dividend. The ex-dividend date of this dividend is Thursday, August 27th. This represents a $1.16 annualized dividend and a dividend yield of 2.5%. Yum China’s dividend payout ratio (DPR) is currently 42.49%.

Insider Transactions at Yum China

In related news, insider Jeff Kuai sold 14,586 shares of the company’s stock in a transaction that occurred on Wednesday, August 12th. The shares were sold at an average price of $47.72, for a total transaction of $696,043.92. Following the completion of the transaction, the insider 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 document filed with the SEC, which is accessible through this hyperlink. Insiders own 0.44% of the company’s stock.

Hedge Funds Weigh In On Yum China

A number of large investors have recently bought and sold shares of the stock. Public Employees Retirement System of Ohio acquired a new position in shares of Yum China in the 2nd quarter valued at $5,412,000. Corient Private Wealth LP acquired a new stake in shares of Yum China during the 2nd quarter worth $1,488,000. Bank of America Corp DE acquired a new stake in shares of Yum China during the 2nd quarter worth $96,255,000. Caisse de depot et placement du Quebec purchased a new position in shares of Yum China in the 2nd quarter worth $3,209,000. Finally, Man Group plc purchased a new position in shares of Yum China in the 2nd quarter worth $23,304,000. Hedge funds and other institutional investors own 85.58% of the company’s stock.

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.