Xueling Lu Sells 23,504 Shares of Yum China (NYSE:YUMC) Stock

Yum China (NYSE:YUMC) insider Xueling Lu sold 23,504 shares of the business’s stock in a transaction dated Tuesday, February 24th. The shares were sold at an average price of $55.84, for a total transaction of $1,312,463.36. Following the transaction, the insider owned 9,042 shares in the company, valued at $504,905.28. This represents a 72.22% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link.

Yum China Stock Performance

Shares of YUMC opened at $55.47 on Friday. The company has a 50-day simple moving average of $50.89 and a two-hundred day simple moving average of $47.08. The company has a debt-to-equity ratio of 0.01, a current ratio of 1.32 and a quick ratio of 1.15. The firm has a market capitalization of $20.05 billion, a PE ratio of 22.10, a price-to-earnings-growth ratio of 1.60 and a beta of 0.14. Yum China has a one year low of $41.00 and a one year high of $58.39.

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

Yum China declared that its Board of Directors has approved a stock repurchase plan on Friday, December 12th that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the company to reacquire up to 5.8% of its shares through open market purchases. Shares buyback plans are usually a sign that the company’s management believes its stock is undervalued.

Yum China Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 25th. Shareholders of record on Wednesday, March 4th will be issued a $0.29 dividend. This represents a $1.16 dividend on an annualized basis and a yield of 2.1%. This is a positive change from Yum China’s previous quarterly dividend of $0.24. The ex-dividend date is Wednesday, March 4th. Yum China’s dividend payout ratio is currently 38.25%.

Institutional Trading of Yum China

Institutional investors and hedge funds have recently modified their holdings of the business. Focus Partners Wealth boosted its position in shares of Yum China by 13.8% during the first quarter. Focus Partners Wealth now owns 21,289 shares of the company’s stock valued at $1,108,000 after buying an additional 2,582 shares during the last quarter. Strs Ohio bought a new position in Yum China during the 1st quarter valued at about $99,000. MQS Management LLC purchased a new stake in shares of Yum China during the 2nd quarter valued at about $206,000. Y Intercept Hong Kong Ltd bought a new stake in shares of Yum China in the second quarter worth approximately $3,749,000. Finally, AustralianSuper Pty Ltd bought a new stake in shares of Yum China in the second quarter worth approximately $627,000. Institutional investors own 85.58% of the company’s stock.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on YUMC shares. Wall Street Zen upgraded shares of Yum China from a “hold” rating to a “buy” rating in a research note on Saturday, February 7th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Yum China in a research note on Wednesday, January 21st. CLSA reiterated an “outperform” rating and set a $55.00 target price on shares of Yum China in a report on Tuesday, November 25th. The Goldman Sachs Group reissued a “buy” rating and issued a $58.50 price target on shares of Yum China in a research report on Wednesday, February 4th. Finally, 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. Three equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $59.05.

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.