Man Group plc Buys New Shares in Yum China $YUMC

Key Points

• Man Group plc acquired 570,234 Yum China shares worth approximately $23.3 million in the second quarter, while institutional investors collectively owned 85.58% of the company.
• Analyst sentiment is generally positive: Yum China has a consensus “Moderate Buy” rating and an average price target of $59.21, compared with a recent share price of $47.17.
• Yum China exceeded quarterly expectations, reporting $0.70 in adjusted EPS and $3.14 billion in revenue, up 12.6% year over year. The company also declared a quarterly dividend of $0.29 per share, representing a 2.5% annualized yield.

Man Group plc bought a new position in shares of Yum China (NYSE:YUMC - Free Report) during the second quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund bought 570,234 shares of the company's stock, valued at approximately $23,304,000. Man Group plc owned about 0.17% of Yum China at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Principal Financial Group Inc. boosted its holdings in shares of Yum China by 8.9% during the 4th quarter. Principal Financial Group Inc. now owns 21,957,111 shares of the company's stock worth $1,039,945,000 after buying an additional 1,787,450 shares during the period. Teachers Retirement System of The State of Kentucky raised its holdings in Yum China by 42.4% in the 1st quarter. Teachers Retirement System of The State of Kentucky now owns 752,360 shares of the company's stock valued at $36,701,000 after acquiring an additional 224,060 shares during the period. Mondrian Investment Partners LTD raised its holdings in Yum China by 112.0% in the 4th quarter. Mondrian Investment Partners LTD now owns 7,854,198 shares of the company's stock valued at $374,959,000 after acquiring an additional 4,148,966 shares during the period. Assetmark Inc. lifted its position in Yum China by 16.0% during the first quarter. Assetmark Inc. now owns 627,455 shares of the company's stock worth $30,607,000 after acquiring an additional 86,550 shares during the last quarter. Finally, Sapient Capital LLC bought a new stake in shares of Yum China during the first quarter worth approximately $8,453,000. 85.58% of the stock is owned by institutional investors.

Analyst Ratings Changes

Several analysts recently issued reports on the company. Wall Street Zen upgraded Yum China from a "hold" rating to a "buy" rating in a research note on Monday, August 17th. The Goldman Sachs Group reiterated a "buy" rating and set a $59.00 price objective on shares of Yum China in a research report on Thursday, July 30th. Finally, Weiss Ratings reissued a "hold (c)" rating on shares of Yum China in a report on Friday, August 21st. Three analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $59.21.

Yum China Trading Down 2.9%

Shares of NYSE:YUMC opened at $47.17 on Thursday. The business's 50 day simple moving average is $44.77 and its 200 day simple moving average is $47.74. The company has a market capitalization of $16.15 billion, a P/E ratio of 17.28, a P/E/G ratio of 1.28 and a beta of 0.09. The company has a debt-to-equity ratio of 0.01, a current ratio of 0.96 and a quick ratio of 0.78. Yum China has a 1 year low of $40.15 and a 1 year high of $58.39.

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

Yum China Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 17th. Investors of record on Thursday, August 27th will be given 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 2.5%. Yum China's dividend payout ratio (DPR) is currently 42.49%.

Insider Buying and Selling

In other news, insider Jeff Kuai sold 14,586 shares of the firm's stock in a transaction on Wednesday, August 12th. The shares were sold at an average price of $47.72, for a total transaction of $696,043.92. Following the completion of the transaction, the insider owned 63,541 shares of the company's stock, valued at approximately $3,032,176.52. This trade represents 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. Also, insider Duoduo (Howard) Huang sold 24,096 shares of Yum China stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $47.08, for a total transaction of $1,134,439.68. Following the transaction, the insider owned 7,589 shares in the company, valued at approximately $357,290.12. This trade represents a 76.05% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders own 0.44% of the company's stock.

About Yum China

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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