Alberta Investment Management Corp Takes Position in Yum China $YUMC

Key Points

• Alberta Investment Management Corp. bought 1.3 million Yum China shares worth approximately $53.1 million, giving it a 0.37% stake. Institutional investors collectively own 85.58% of the company.
• Yum China exceeded quarterly expectations, reporting $0.70 in earnings per share versus $0.67 expected and revenue of $3.14 billion, up 12.6% year over year.
• The company declared a quarterly dividend of $0.29 per share, equivalent to $1.16 annually and a yield of about 2.4%. Analysts maintain a generally positive view, with a consensus “Moderate Buy” rating and a $59.21 price target.

Alberta Investment Management Corp bought a new position in shares of Yum China (NYSE:YUMC - Free Report) in the second quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund bought 1,300,000 shares of the company's stock, valued at approximately $53,131,000. Alberta Investment Management Corp owned about 0.37% of Yum China as of its most recent SEC filing.

Several other large investors have also made changes to their positions in the company. Main Street Group LTD bought a new position in Yum China in the first quarter valued at about $26,000. Duncker Streett & Co. Inc. bought a new stake in Yum China during the 4th quarter worth about $26,000. Ascentis Independent Advisors bought a new stake in Yum China during the 1st quarter worth about $27,000. Elyxium Wealth LLC acquired a new position in Yum China during the 4th quarter valued at about $27,000. Finally, Cresta Advisors Ltd. acquired a new position in Yum China during the 4th quarter valued at about $28,000. Institutional investors and hedge funds own 85.58% of the company's stock.

Analyst Ratings Changes

YUMC has been the subject of several analyst reports. Wall Street Zen upgraded shares of Yum China from a "hold" rating to a "buy" rating in a research report on Monday. Weiss Ratings lowered shares of Yum China from a "hold (c+)" rating to a "hold (c)" rating in a report on Tuesday, May 26th. Finally, The Goldman Sachs Group reaffirmed a "buy" rating and issued a $59.00 price objective on shares of Yum China in a research note on Thursday, July 30th. Three research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company's stock. According to data from MarketBeat, Yum China currently has a consensus rating of "Moderate Buy" and a consensus price target of $59.21.

Yum China Stock Down 0.0%

Shares of NYSE:YUMC opened at $47.59 on Monday. The company has a 50 day moving average price of $44.04 and a two-hundred day moving average price of $47.92. The company has a debt-to-equity ratio of 0.01, a quick ratio of 0.78 and a current ratio of 0.96. The company has a market capitalization of $16.30 billion, a PE ratio of 17.43, a PEG ratio of 1.25 and a beta of 0.09. Yum China has a 52 week low of $40.15 and a 52 week high of $58.39.

Yum China (NYSE:YUMC - Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The company reported $0.70 earnings per share for the quarter, topping analysts' consensus estimates of $0.67 by $0.03. Yum China had a net margin of 7.84% and a return on equity of 15.82%. The company had revenue of $3.14 billion for the quarter, compared to analysts' expectations of $3.05 billion. During the same period last year, the firm posted $0.58 earnings per share. The business's quarterly revenue was up 12.6% compared to the same quarter last year. Analysts forecast that Yum China will post 2.95 earnings per share for the current year.

Yum China Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 17th. Shareholders of record on Thursday, August 27th will be issued a dividend of $0.29 per share. The ex-dividend date is Thursday, August 27th. This represents a $1.16 annualized dividend and a yield of 2.4%. Yum China's payout ratio is currently 42.49%.

Insider Transactions at Yum China

In other Yum China news, insider Jeff Kuai sold 14,586 shares of the business's stock in a transaction dated Wednesday, August 12th. The stock was sold at an average price of $47.72, for a total value of $696,043.92. Following the completion of the transaction, the insider directly owned 63,541 shares of the company's stock, valued at approximately $3,032,176.52. The trade was a 18.67% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.44% of the company's stock.

Key Stories Impacting Yum China

Here are the key news stories impacting Yum China this week:

• Positive Sentiment: Analysts raised earnings forecasts. Zacks Research increased its FY2026 EPS estimate to $2.92 from $2.91, FY2027 to $3.42 from $3.32, and FY2028 to $4.03 from $3.81. Estimates were also raised for Q1 2027, Q3 2027, Q4 2027 and Q1 2028, suggesting improving expectations for Yum China’s longer-term profitability. Yum China analyst estimates
• Positive Sentiment: Recent operating results exceeded expectations. Yum China’s latest quarterly report showed EPS of $0.70 versus the $0.67 consensus estimate, while revenue of $3.14 billion beat forecasts of $3.05 billion and increased 12.6% year over year. The earnings outperformance provides additional support for the stock. Yum China quarterly earnings
• Positive Sentiment: Dividend supports shareholder returns. The company declared a quarterly dividend of $0.29 per share, or $1.16 annualized, representing a yield of approximately 2.5%. Goldman Sachs also maintained a Buy rating with a $59 price target, above recent trading levels. Yum China dividend and analyst coverage
• Neutral Sentiment: Insider transaction disclosed. Insider Jeff Kuai sold 14,586 shares for approximately $696,000, reducing his direct holdings by 18.67%. The sale could weigh on sentiment, though one insider transaction does not necessarily indicate a change in the company’s fundamentals. Yum China insider sale
• Negative Sentiment: Some analyst sentiment remains cautious. Wall Street Zen recently downgraded Yum China from Buy to Hold, creating a counterweight to the higher earnings estimates and Goldman Sachs’ Buy rating.

Yum China 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.

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