Joey Wat Sells 4,613 Shares of Yum China (NYSE:YUMC) Stock

Yum China (NYSE:YUMC) CEO Joey Wat sold 4,613 shares of the company’s stock in a transaction on Wednesday, February 11th. The shares were sold at an average price of $57.01, for a total transaction of $262,987.13. Following the sale, the chief executive officer directly owned 537,306 shares in the company, valued at $30,631,815.06. This trade represents a 0.85% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link.

Yum China Stock Performance

YUMC stock opened at $55.42 on Friday. The firm has a market cap of $20.03 billion, a PE ratio of 22.08, a price-to-earnings-growth ratio of 1.52 and a beta of 0.14. 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 stock has a 50-day moving average price of $49.48 and a 200-day moving average price of $46.49. Yum China has a 1-year low of $41.00 and a 1-year high of $58.39.

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

Yum China Increases Dividend

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

Yum China announced that its Board of Directors has approved a stock repurchase program on Friday, December 12th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the company to buy up to 5.8% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s leadership believes its stock is undervalued.

Institutional Investors Weigh In On Yum China

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Focus Partners Wealth lifted its position in Yum China by 13.8% in the 1st quarter. Focus Partners Wealth now owns 21,289 shares of the company’s stock valued at $1,108,000 after acquiring an additional 2,582 shares in the last quarter. Strs Ohio purchased a new stake in shares of Yum China in the first quarter worth approximately $99,000. Janney Montgomery Scott LLC lifted its holdings in shares of Yum China by 25.8% in the second quarter. Janney Montgomery Scott LLC now owns 18,921 shares of the company’s stock valued at $846,000 after purchasing an additional 3,882 shares in the last quarter. US Bancorp DE boosted its position in shares of Yum China by 21.7% during the second quarter. US Bancorp DE now owns 32,088 shares of the company’s stock valued at $1,435,000 after buying an additional 5,723 shares during the last quarter. Finally, IFP Advisors Inc boosted its position in shares of Yum China by 30.2% during the second quarter. IFP Advisors Inc now owns 1,576 shares of the company’s stock valued at $70,000 after buying an additional 366 shares during the last quarter. 85.58% of the stock is owned by institutional investors.

Analyst Ratings Changes

Several research analysts recently issued reports on YUMC shares. CLSA reissued an “outperform” rating and set a $55.00 target price on shares of Yum China in a research note on Tuesday, November 25th. Wall Street Zen upgraded shares of Yum China from a “hold” rating to a “buy” rating in a report on Saturday, February 7th. Jefferies Financial Group reissued a “buy” rating and set a $63.64 price objective on shares of Yum China in a research report on Thursday, February 5th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Yum China in a research report on Wednesday, January 21st. Finally, The Goldman Sachs Group reaffirmed a “buy” rating and set a $58.50 price target on shares of Yum China in a research note on Wednesday, February 4th. Three investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target 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.