UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC Grows Stake in Yum China $YUMC

Key Points

• Institutional ownership increased: UBS Asset Management raised its Yum China stake by 13.2% to 607,187 shares, while other investors also initiated or expanded positions. Institutional investors collectively own 85.58% of the company.
• Analyst sentiment remains positive: Yum China carries a “Moderate Buy” consensus rating, with an average price target of $59.21 versus a recent share price of $43.71. Goldman Sachs reiterated a Buy rating with a $59 target.
• Strong quarterly results and dividend: The company beat earnings and revenue estimates, reporting $0.70 EPS and $3.14 billion in revenue, up 12.6% year over year. Yum China also announced a quarterly dividend of $0.29 per share, representing a 2.7% annualized yield.

UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its stake in shares of Yum China (NYSE:YUMC - Free Report) by 13.2% in the second quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 607,187 shares of the company's stock after acquiring an additional 70,841 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC owned about 0.18% of Yum China worth $24,816,000 at the end of the most recent reporting period.

Other large investors have also bought and sold shares of the company. Van ECK Associates Corp lifted its position in shares of Yum China by 9.0% during the 2nd quarter. Van ECK Associates Corp now owns 251,527 shares of the company's stock valued at $10,280,000 after buying an additional 20,791 shares during the last quarter. Kingsview Wealth Management LLC bought a new stake in Yum China in the 2nd quarter valued at about $290,000. Beacon Pointe Advisors LLC bought a new stake in Yum China in the 2nd quarter valued at about $726,000. Glenview Trust Co purchased a new stake in Yum China during the second quarter valued at about $229,000. Finally, Empowered Funds LLC purchased a new stake in Yum China during the second quarter valued at about $404,000. 85.58% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other news, insider Duoduo (Howard) Huang sold 24,096 shares of the company's stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of $47.08, for a total value of $1,134,439.68. Following the completion of the transaction, the insider directly owned 7,589 shares in the company, valued at approximately $357,290.12. This represents a 76.05% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Jeff Kuai sold 14,586 shares of the firm's stock in a transaction dated Wednesday, August 12th. The shares were sold at an average price of $47.72, for a total value of $696,043.92. Following the transaction, the insider directly owned 63,541 shares in the company, valued at approximately $3,032,176.52. This represents a 18.67% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 0.44% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

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

Yum China Price Performance

Yum China stock opened at $43.71 on Friday. The business has a 50-day simple moving average of $45.13 and a 200 day simple moving average of $47.25. Yum China has a 52 week low of $40.15 and a 52 week high of $58.39. The stock has a market cap of $14.97 billion, a price-to-earnings ratio of 16.01, a PEG ratio of 1.18 and a beta of 0.08. The company has a quick ratio of 0.78, a current ratio of 0.96 and a debt-to-equity ratio of 0.01.

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

Yum China Announces Dividend

The business 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 $0.29 dividend. The ex-dividend date is Thursday, August 27th. This represents a $1.16 annualized dividend and a yield of 2.7%. Yum China's payout ratio is 42.49%.

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.

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