Considering Yum China Holdings Inc. (YUMC) as a potential investment: What Should You Do?

The price of Yum China Holdings Inc. (NYSE: YUMC) closed at $60.98 in the last session, up 0.89% from day before closing price of $60.44. In other words, the price has increased by $+0.54 from its previous closing price. On the day, 1470013 shares were traded. YUMC stock price reached its highest trading level at $61.49 during the session, while it also had its lowest trading level at $59.92.

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Ratios:

We take a closer look at YUMC’s different ratios to gain a better understanding of the stock. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 7.94 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 47.05. For the most recent quarter (mrq), Quick Ratio is recorded 1.60 and its Current Ratio is at 1.80. In the meantime, Its Debt-to-Equity ratio is 0.00 whereas as Long-Term Debt/Eq ratio is at 0.01.

Upgrades & Downgrades

On April 06, 2021, Atlantic Equities started tracking the stock assigning a Overweight rating and target price of $72.Atlantic Equities initiated its Overweight rating on April 06, 2021, with a $72 target price.

Insider Transactions:

An investor can also benefit from insider trades by learning what management is thinking about the future direction of stock prices. A recent insider transaction in this stock occurred on Mar 03 when Huang Johnson sold 10,707 shares for $62.00 per share. The transaction valued at 663,834 led to the insider holds 53,268 shares of the business.

Wat Joey sold 12,018 shares of YUMC for $745,374 on Feb 22. The Chief Executive Officer now owns 261,905 shares after completing the transaction at $62.02 per share. On Nov 15, another insider, Huang Johnson, who serves as the Chief Customer Officer of the company, sold 6,317 shares for $55.00 each. As a result, the insider received 347,435 and left with 45,698 shares of the company.

Valuation Measures:

As of this moment, Yum’s Price-to-Earnings (P/E) ratio for their current fiscal year is 58.63, and their Forward P/E ratio for the next fiscal year is 25.33. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 2.57. For the stock, the TTM Price-to-Sale (P/S) ratio is 2.62 while its Price-to-Book (P/B) ratio in mrq is 3.93.

Stock Price History:

Over the past 52 weeks, YUMC has reached a high of $63.06, while it has fallen to a 52-week low of $36.05. The 50-Day Moving Average of the stock is 59.97, while the 200-Day Moving Average is calculated to be 51.41.

Shares Statistics:

According to the various share statistics, YUMC traded on average about 1.84M shares per day over the past 3-months and 1.55M shares per day over the past 10 days. A total of 418.00M shares are outstanding, with a floating share count of 404.33M. Insiders hold about 0.20% of the company’s shares, while institutions hold 84.90% stake in the company. Shares short for YUMC as of Jan 30, 2023 were 8.42M with a Short Ratio of 8.23M, compared to 10.2M on Dec 29, 2022. Therefore, it implies a Short% of Shares Outstanding of 2.01% and a Short% of Float of 2.01%.

Dividends & Splits

The forward annual dividend rate for YUMC is 0.52, which was 0.24 in the trailing 12 months. Against a Trailing Annual Dividend Yield of 0.40%, it implies a Forward Annual Dividend Yield of 0.84%. The stock’s 5-year Average Dividend Yield is 0.88.

Earnings Estimates

The company has 0 analysts who recommend its stock at the moment. The consensus estimate for the next quarter is $0, with high estimates of $0 and low estimates of $0.

Analysts are recommending an EPS of between $15.62 and $13.19 for the fiscal current year, implying an average EPS of $14.66. EPS for the following year is $17.63, with 11 analysts recommending between $19.44 and $13.97.

Revenue Estimates

According to 16 analysts, the current quarter’s revenue is expected to be $89.28B. It ranges from a high estimate of $94.1B to a low estimate of $80.85B. As of the current estimate, Yum China Holdings Inc.’s year-ago sales were $75.1B, an estimated increase of 18.90% from the year-ago figure.

A total of 16 analysts have provided revenue estimates for YUMC’s current fiscal year. The highest revenue estimate was $94.1B, while the lowest revenue estimate was $80.85B, resulting in an average revenue estimate of $89.28B. In the same quarter a year ago, actual revenue was $75.1B, up 18.90% from the average estimate. Based on 16 analysts’ estimates, the company’s revenue will be $99.15B in the next fiscal year. The high estimate is $109.7B and the low estimate is $86.14B. The average revenue growth estimate for next year is up 11.10% from the average revenue estimate for this year.