-2.82%
-0.73%
2.62%
56.62%
31.24%
-3.14%
7.26%
AI Spotlight on YUMC
Company Description
Yum China Holdings, Inc.owns, operates, and franchises restaurants in China.The company operates through two segments, KFC and Pizza Hut.
It operates restaurants under the KFC, Pizza Hut, Little Sheep, Huang Ji Huang, Lavazza, COFFii & JOY, Taco Bell, and East Dawning brands, which specialize in chicken, pizza, hot pot cooking, simmer pot, Italian coffee, specialty coffee, Mexican-style food, and Chinese food categories.The company also operates V-Gold Mall, a mobile e-commerce platform, which sells electronics, home and kitchen accessories, and other general merchandise, as well as fried rice, steak, pasta and other ready meals, and coffee capsules.In addition, it operates franchise restaurants under the KFC, Pizza Hut, Huang Ji Huang, Taco Bell, Little Sheep, East Dawning, Lavazza, and COFFii & JOY names.
As of March 31, 2022, the company operated 12,117 restaurants in approximately 1,700 cities.Yum China Holdings, Inc.was incorporated in 2016 and is headquartered in Shanghai, China.
Market Data
| Last Price | 46.25 |
| Change Percentage | -2.82% |
| Open | 47.07 |
| Previous Close | 47.59 |
| Market Cap ( Millions) | 17564 |
| Volume | 1778523 |
| Year High | 52 |
| Year Low | 28.5 |
| M A 50 | 46.88 |
| M A 200 | 39.7 |
Financial Ratios
| FCF Yield | 3.81% |
| Dividend Yield | 1.38% |
| ROE | 14.82% |
| Debt / Equity | 44.51% |
| Net Debt / EBIDTA | 90.99% |
| Price To Book | 2.95 |
| Price Earnings Ratio | 19.89 |
| Price To FCF | 26.24 |
| Price To sales | 1.57 |
| EV / EBITDA | 11.67 |
News
- Jan -22 - Yum China Announces Disclosure under Hong Kong Stock Exchange Rules in Relation to a Possible Quarterly Dividend
- Jan -21 - Yum China named as a "Top Employer" in China by Top Employers Institute for seventh consecutive year, achieving Top 2 national ranking
- Jan -15 - Yum China to Report Fourth Quarter and Fiscal Year 2024 Financial Results
- Jan -09 - Yum China Leads the Restaurant & Leisure Facilities Industry for the Fifth Consecutive Year on the Dow Jones Sustainability Index
- Dec -22 - Yum China Holdings: Potential For Sales Growth To Accelerate
- Dec -05 - Yum China Announces US$360 million Share Repurchase Agreements for First Half of 2025 as Part of Broader Capital Return Plan
- Dec -02 - Is Yum China (YUMC) a Solid Growth Stock? 3 Reasons to Think "Yes"
- Nov -29 - Yum China Officially Launches Digital Supplier Recruitment Platform at China International Supply Chain Expo
- Nov -21 - Yum China CEO: Innovating to offer customers 'emotional value'
- Nov -15 - Yum China (YUMC) is an Incredible Growth Stock: 3 Reasons Why
- Nov -14 - YUMC vs. CMG: Which Stock Is the Better Value Option?
- Nov -08 - Why Investors Were Feasting on Yum China Stock This Week
- Nov -08 - Yum China (YUMC) Soars to 52-Week High, Time to Cash Out?
- Nov -05 - Yum China Q3 Earnings Surpass Estimates, Revenues Rise Y/Y
- Nov -04 - S&P 500 Edges Lower; Yum China Earnings Top Views
- Nov -04 - Why Yum China Stock Jumped Back Up Today
- Nov -04 - Yum China Holdings, Inc. (YUMC) Q3 2024 Earnings Call Transcript
- Nov -04 - Yum China (YUMC) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates
- Nov -04 - Yum China Holdings (YUMC) Q3 Earnings Beat Estimates
- Nov -01 - How To Earn $500 A Month From Yum China Stock Ahead Of Q3 Earnings
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> KFC
Expected Growth : 8.5 %
What the company do ?
KFC is a fast-food restaurant chain from Yum China Holdings, Inc. serving fried chicken and other American-inspired food.
Why we expect these perspectives ?
KFC's 8.5% growth in Yum China Holdings, Inc. is driven by increasing demand for convenience food, successful marketing campaigns, and strategic menu innovation. Expansion into lower-tier cities, digitalization of restaurants, and loyalty programs also contribute to growth. Additionally, Yum China's focus on operational efficiency and cost savings enables investments in growth initiatives, further fueling KFC's expansion in the Chinese market.
Segment n°2 -> Pizza Hut
Expected Growth : 7.5 %
What the company do ?
Pizza Hut is a popular pizza chain from Yum China Holdings, Inc., offering a variety of pizzas, pastas, and other Italian-American cuisine.
Why we expect these perspectives ?
Yum China's Pizza Hut growth driven by increasing demand for convenience, digitalization, and delivery services. Strong brand recognition, menu innovation, and marketing efforts contribute to sales growth. Expansion into lower-tier cities and increased focus on online ordering and delivery also fuel growth, resulting in a 7.5% growth rate.
Segment n°3 -> Corporate and Unallocated
Expected Growth : 6.0 %
What the company do ?
Corporate and Unallocated from Yum China Holdings, Inc. refers to the company's headquarters and unallocated costs, including expenses not attributed to a specific business segment.
Why we expect these perspectives ?
Yum China Holdings' Corporate and Unallocated segment growth of 6.0% is driven by increased investments in digitalization, marketing, and store remodels, as well as benefits from cost savings initiatives and favorable foreign exchange rates. Additionally, the company's focus on menu innovation, value proposition, and customer experience enhancements also contribute to the growth.
Segment n°4 -> All Other
Expected Growth : 8.0 %
What the company do ?
All Other from Yum China Holdings, Inc. refers to the company's non-KFC and non-Pizza Hut businesses, including East Dawning, Little Sheep, and other emerging brands.
Why we expect these perspectives ?
Yum China's 8.0% growth in All Other segment is driven by increased sales from emerging brands, such as East Dawning and COFFii & JOY, as well as growth in delivery and digital payments. Additionally, the company's strategic partnerships and investments in technology, including its loyalty program and mobile app, have contributed to the segment's growth.
Yum China Holdings, Inc. Products
| Product Range | What is it ? |
|---|---|
| KFC | KFC is a fast-food chain that specializes in fried chicken and other chicken-based meals. |
| Pizza Hut | Pizza Hut is a pizza chain that offers a variety of pizzas, pastas, and other Italian-American cuisine. |
| East Dawning | East Dawning is a Chinese fast-food chain that offers a variety of traditional Chinese dishes, including congee, noodles, and rice bowls. |
| Little Sheep | Little Sheep is a hot pot chain that offers a variety of hot pot options, including soup bases, meats, and vegetables. |
| COFFii & JOY | COFFii & JOY is a coffee shop chain that offers a variety of coffee drinks, pastries, and snacks. |
| Tao Xi | Tao Xi is a Chinese fast-food chain that offers a variety of traditional Chinese dishes, including noodles, rice bowls, and snacks. |
Yum China Holdings, Inc.'s Porter Forces
Threat Of Substitutes
Yum China Holdings, Inc. faces moderate threat from substitutes as consumers have various options for dining out or ordering in, but the company's strong brand recognition and loyalty programs help to mitigate this threat.
Bargaining Power Of Customers
Yum China Holdings, Inc. has a large customer base, but individual customers do not have significant bargaining power due to the company's large scale and diversified customer base.
Bargaining Power Of Suppliers
Yum China Holdings, Inc. has a moderate level of dependence on suppliers, particularly for ingredients and packaging materials, but the company's scale and negotiating power help to mitigate this threat.
Threat Of New Entrants
Yum China Holdings, Inc. operates in a highly competitive market, but the company's strong brand recognition, established supply chain, and regulatory hurdles make it difficult for new entrants to gain significant market share.
Intensity Of Rivalry
Yum China Holdings, Inc. operates in a highly competitive market with many established players, leading to intense rivalry and pricing pressure, but the company's strong brand recognition and operational efficiency help to mitigate this threat.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 28.37% |
| Debt Cost | 3.95% |
| Equity Weight | 71.63% |
| Equity Cost | 6.21% |
| WACC | 5.57% |
| Leverage | 39.61% |
Yum China Holdings, Inc. : Quality Control
Yum China Holdings, Inc. passed 3 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| YUM | YUM! Brands, Inc., together with its subsidiaries, develops, operates, and franchises quick service restaurants worldwide. It operates through four segments: the KFC Division, the Taco Bell Division, the Pizza Hut … |
| MCD | McDonald's Corporation operates and franchises McDonald's restaurants in the United States and internationally. Its restaurants offer hamburgers and cheeseburgers, chicken sandwiches and nuggets, wraps, fries, salads, oatmeal, shakes, desserts, sundaes, … |
| 690D.DE | Haier Smart Home Co., Ltd. engages in the research, development, production, and sale of smart home appliances in Asia, Europe, the United States, Australia, Africa, and internationally. The company operates … |
| CMG | Chipotle Mexican Grill, Inc., together with its subsidiaries, owns and operates Chipotle Mexican Grill restaurants. As of February 15, 2022, it owned and operated approximately 3,000 restaurants in the United … |
| MMYT | MakeMyTrip Limited, an online travel company, sells travel products and solutions in India, the United States, Singapore, Malaysia, Thailand, the United Arab Emirates, Peru, Colombia, Vietnam, and Indonesia. The company … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Haier Smart Home
A-Score
1-Year Total Return ->
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Yum China Holdings
A-Score
1-Year Total Return ->
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Yum!
A-Score
1-Year Total Return ->
4
McDonald's
A-Score
1-Year Total Return ->
5
MakeMyTrip
A-Score
1-Year Total Return ->
6
