Yum China (NYSE:YUMC) Insider Duoduo (Howard) Huang Sells 24,096 Shares

Key Points

• Insider sale: Duoduo (Howard) Huang sold 24,096 Yum China shares at an average price of $47.08, totaling approximately $1.13 million. The transaction reduced his direct ownership by 76.05% to 7,589 shares.
• Quarterly performance: Yum China reported quarterly EPS of $0.70, exceeding estimates of $0.67, while revenue rose 12.6% year over year to $3.14 billion.
• Investor outlook: The company declared a quarterly dividend of $0.29 per share, equivalent to a 2.5% yield, while analysts maintain a “Moderate Buy” consensus with an average price target of $59.21.

Yum China (NYSE:YUMC - Get Free Report) 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 transaction of $1,134,439.68. Following the sale, the insider directly owned 7,589 shares in the company, valued at $357,290.12. This represents a 76.05% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link.

Yum China Stock Down 0.7%

Shares of YUMC opened at $46.82 on Wednesday. The company has a market capitalization of $16.03 billion, a P/E ratio of 17.15, a PEG ratio of 1.25 and a beta of 0.09. Yum China has a one year low of $40.15 and a one year high of $58.39. The business's 50 day simple moving average is $44.22 and its 200-day simple moving average is $47.88. 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 (NYSE:YUMC - Get Free Report) last released its quarterly earnings results on Thursday, July 30th. The company reported $0.70 earnings per share for the quarter, beating analysts' consensus estimates 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 analysts' expectations of $3.05 billion. During the same period last year, the firm posted $0.58 EPS. The business's revenue was up 12.6% on a year-over-year basis. As a group, sell-side analysts predict that Yum China will post 2.95 EPS for the current fiscal year.

Yum China Dividend Announcement

The company also recently disclosed 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. This represents a $1.16 annualized dividend and a yield of 2.5%. The ex-dividend date of this dividend is Thursday, August 27th. Yum China's payout ratio is currently 42.49%.

Institutional Investors Weigh In On Yum China

Hedge funds have recently bought and sold shares of the company. Duncker Streett & Co. Inc. bought a new stake in shares of Yum China in the 4th quarter valued at $26,000. Main Street Group LTD bought a new position in Yum China during the first quarter worth about $26,000. Elyxium Wealth LLC acquired a new position in Yum China in the fourth quarter valued at about $27,000. Ascentis Independent Advisors acquired a new position in Yum China in the first quarter valued at about $27,000. Finally, Cresta Advisors Ltd. bought a new stake in shares of Yum China in the fourth quarter worth about $28,000. 85.58% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on YUMC. Wall Street Zen upgraded shares of Yum China from a "hold" rating to a "buy" rating in a report on Monday. The Goldman Sachs Group reiterated a "buy" rating and set a $59.00 target price on shares of Yum China in a research report on Thursday, July 30th. Finally, Weiss Ratings downgraded Yum China from a "hold (c+)" rating to a "hold (c)" rating in a research note on Tuesday, May 26th. Three analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $59.21.

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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