(YUMC) Yum China Holdings - Overview
Sector: Consumer Cyclical | Industry: Restaurants | Exchange: NYSE (USA) | Market Cap: 15.976m USD | Total Return: 7.1% in 12m
Avg Turnover: 61.3M
EPS Trend: 97.5%
Qual. Beats: 0
Rev. Trend: 97.0%
Qual. Beats: 0
Warnings
Below Avwap Earnings
Tailwinds
No distinct edge detected
Yum China Holdings, Inc. is the largest restaurant company in China, operating a diverse portfolio of quick-service and casual dining brands including KFC, Pizza Hut, and Taco Bell. Headquartered in Shanghai, the company manages a vast network of both company-owned and franchised locations, supplemented by proprietary online delivery platforms and specialty brands such as Lavazza and Little Sheep.
The company operates within the consumer discretionary sector, where business models prioritize high transaction volumes and supply chain integration to manage costs across geographically dispersed urban centers. Unlike its former parent company in the United States, Yum China holds exclusive rights to operate these global brands within the Chinese market, allowing for localized menu innovation and digital integration tailored to regional consumer preferences.
Investors can evaluate additional financial metrics and historical performance data on ValueRay to further their analysis. The company remains a primary indicator of Chinese middle-class spending patterns and the broader recovery of the domestic service economy.
- KFC store network expansion drives long-term revenue and market share growth
- Digital ordering and delivery integration stabilizes margins amidst rising labor costs
- Chinese consumer confidence levels directly impact same-store sales performance
- Geopolitical tensions and local regulatory shifts influence foreign investor sentiment
- Pizza Hut revitalization efforts determine overall corporate profitability and segment recovery
| Net Income: 946.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.09 > 0.02 and ΔFCF/TA 1.54 > 1.0 |
| NWC/Revenue: 0.12% < 20% (prev 4.94%; Δ -4.82% < -1%) |
| CFO/TA 0.14 > 3% & CFO 1.56b > Net Income 946.0m |
| Net Debt (2.75b) to EBITDA (1.86b): 1.48 < 3 |
| Current Ratio: 1.01 > 1.5 & < 3 |
| Outstanding Shares: last quarter (354.0m) vs 12m ago -6.35% < -2% |
| Gross Margin: 17.23% > 18% (prev 0.17%; Δ 1.71k% > 0.5%) |
| Asset Turnover: 110.7% > 50% (prev 102.9%; Δ 7.75% > 0%) |
| Interest Coverage Ratio: 127.8 > 6 (EBITDA TTM 1.86b / Interest Expense TTM 11.0m) |
| A: 0.00 (Total Current Assets 2.32b - Total Current Liabilities 2.30b) / Total Assets 10.84b |
| B: 0.16 (Retained Earnings 1.79b / Total Assets 10.84b) |
| C: 0.13 (EBIT TTM 1.41b / Avg Total Assets 10.92b) |
| D: 0.36 (Book Value of Equity 1.69b / Total Liabilities 4.73b) |
| Altman-Z'' = 1.79 = BBB |
| DSRI: 0.32 (Receivables 103.0m/297.0m, Revenue 12.09b/11.33b) |
| GMI: 0.98 (GM 17.23% / 16.94%) |
| AQI: 1.03 (AQ_t 0.35 / AQ_t-1 0.34) |
| SGI: 1.07 (Revenue 12.09b / 11.33b) |
| TATA: -0.06 (NI 946.0m - CFO 1.56b) / TA 10.84b) |
| Beneish M = -3.59 (Cap -4..+1) = AAA |
As of May 23, 2026, the stock is trading at USD 44.94 with a total of 2,238,182 shares traded.
Over the past week, the price has changed by -2.09%,
over one month by -7.97%,
over three months by -18.81% and
over the past year by +7.09%.
Yum China Holdings has received a consensus analysts rating of 4.61. Therefore, it is recommended to buy YUMC.
- StrongBuy: 15
- Buy: 7
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 61.7 | 37.3% |
P/E Forward = 15.949
P/S = 1.3217
P/B = 3.0607
P/EG = 1.2177
Revenue TTM = 12.09b USD
EBIT TTM = 1.41b USD
EBITDA TTM = 1.86b USD
Long Term Debt = 1.85b USD (estimated: total debt 1.87b - short term 20.0m)
Short Term Debt = 20.0m USD (from shortTermDebt, last quarter)
Debt = 4.18b USD (from shortLongTermDebtTotal, last quarter) + Leases 2.31b
Net Debt = 2.75b USD (calculated: Debt 4.18b - CCE 1.43b)
Enterprise Value = 18.73b USD (15.98b + Debt 4.18b - CCE 1.43b)
Interest Coverage Ratio = 127.8 (Ebit TTM 1.41b / Interest Expense TTM 11.0m)
EV/FCF = 20.12x (Enterprise Value 18.73b / FCF TTM 931.0m)
FCF Yield = 4.97% (FCF TTM 931.0m / Enterprise Value 18.73b)
FCF Margin = 7.70% (FCF TTM 931.0m / Revenue TTM 12.09b)
Net Margin = 7.83% (Net Income TTM 946.0m / Revenue TTM 12.09b)
Gross Margin = 17.23% ((Revenue TTM 12.09b - Cost of Revenue TTM 10.01b) / Revenue TTM)
Gross Margin QoQ = 18.80% (prev 14.49%)
Tobins Q-Ratio = 1.73 (Enterprise Value 18.73b / Total Assets 10.84b)
Interest Expense / Debt = 0.26% (Interest Expense 11.0m / Debt 4.18b)
Taxrate = 27.09% (123.0m / 454.0m)
NOPAT = 1.03b (EBIT 1.41b * (1 - 27.09%))
Current Ratio = 1.01 (Total Current Assets 2.32b / Total Current Liabilities 2.30b)
Debt / Equity = 0.77 (Debt 4.18b / totalStockholderEquity, last quarter 5.43b)
Debt / EBITDA = 1.48 (Net Debt 2.75b / EBITDA 1.86b)
Debt / FCF = 2.96 (Net Debt 2.75b / FCF TTM 931.0m)
Total Stockholder Equity = 5.57b (last 4 quarters mean from totalStockholderEquity)
RoA = 8.66% (Net Income 946.0m / Total Assets 10.84b)
RoE = 16.97% (Net Income TTM 946.0m / Total Stockholder Equity 5.57b)
RoCE = 18.94% (EBIT 1.41b / Capital Employed (Equity 5.57b + L.T.Debt 1.85b))
RoIC = 14.39% (NOPAT 1.03b / Invested Capital 7.12b)
WACC = 5.40% (E(15.98b)/V(20.16b) * Re(6.76%) + D(4.18b)/V(20.16b) * Rd(0.26%) * (1-Tc(0.27)))
Discount Rate = 6.76% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -100.00 | Cagr: -6.82%
[DCF] Terminal Value 77.82% ; FCFF base≈869.0m ; Y1≈988.2m ; Y5≈1.42b
[DCF] Fair Price = 53.35 (EV 21.48b - Net Debt 2.75b = Equity 18.73b / Shares 351.0m; r=8.35% [WACC [floored]]; 5y FCF grow 14.06% → 2.50% )
EPS Correlation: 97.50 | EPS CAGR: 14.27% | SUE: 0.27 | # QB: 0
Revenue Correlation: 96.98 | Revenue CAGR: 4.78% | SUE: 0.64 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.67 | Chg30d=+0.27% | Revisions=-20% | Analysts=4
EPS next Quarter (2026-09-30): EPS=0.90 | Chg30d=+1.15% | Revisions=+0% | Analysts=4
EPS current Year (2026-12-31): EPS=2.92 | Chg30d=+0.71% | Revisions=+29% | GrowthEPS=+16.4% | GrowthRev=+7.8%
EPS next Year (2027-12-31): EPS=3.26 | Chg30d=+0.43% | Revisions=+8% | GrowthEPS=+11.6% | GrowthRev=+5.8%
[Analyst] Revisions Ratio: +29%