The stock price of Yum China Holdings Inc (NYSE: YUMC) has dropped by -0.76 compared to previous close of 48.44. Despite this, the company has seen a gain of 6.85% in its stock price over the last five trading days. zacks.com reported 2025-02-07 that YUMC’s fourth-quarter 2024 results benefit from increased same-store transactions.
Is It Worth Investing in Yum China Holdings Inc (NYSE: YUMC) Right Now?
Yum China Holdings Inc (NYSE: YUMC) has a price-to-earnings ratio of 20.67x that is above its average ratio. Additionally, the 36-month beta value for YUMC is 0.35. There are mixed opinions on the stock, with 18 analysts rating it as a “buy,” 8 rating it as “overweight,” 1 rating it as “hold,” and 0 rating it as “sell.”
The public float for YUMC is 363.82M and currently, short sellers hold a 3.05% ratio of that float. The average trading volume of YUMC on February 11, 2025 was 2.20M shares.
YUMC’s Market Performance
YUMC’s stock has seen a 6.85% increase for the week, with a 10.30% rise in the past month and a -3.53% fall in the past quarter. The volatility ratio for the week is 3.00%, and the volatility levels for the past 30 days are at 2.71% for Yum China Holdings Inc. The simple moving average for the past 20 days is 5.53% for YUMC’s stock, with a 20.21% simple moving average for the past 200 days.
Analysts’ Opinion of YUMC
Many brokerage firms have already submitted their reports for YUMC stocks, with JP Morgan repeating the rating for YUMC by listing it as a “Overweight.” The predicted price for YUMC in the upcoming period, according to JP Morgan is $60 based on the research report published on November 06, 2024 of the previous year 2024.
Deutsche Bank gave a rating of “Buy” to YUMC, setting the target price at $58 in the report published on December 19th of the previous year.
YUMC Trading at 2.62% from the 50-Day Moving Average
After a stumble in the market that brought YUMC to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -7.56% of loss for the given period.
Volatility was left at 2.71%, however, over the last 30 days, the volatility rate increased by 3.00%, as shares surge +13.64% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +1.03% upper at present.
During the last 5 trading sessions, YUMC rose by +6.85%, which changed the moving average for the period of 200-days by +25.31% in comparison to the 20-day moving average, which settled at $45.55. In addition, Yum China Holdings Inc saw -0.21% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at YUMC starting from HUANG Duoduo (Howard), who sale 6,377 shares at the price of $47.47 back on Nov 25 ’24. After this action, HUANG Duoduo (Howard) now owns 16,641 shares of Yum China Holdings Inc, valued at $302,716 using the latest closing price.
HUANG Duoduo (Howard), the Officer of Yum China Holdings Inc, proposed sale 6,377 shares at $47.47 during a trade that took place back on Nov 25 ’24, which means that HUANG Duoduo (Howard) is holding shares at $302,716 based on the most recent closing price.
Stock Fundamentals for YUMC
Current profitability levels for the company are sitting at:
- 0.11 for the present operating margin
- 0.37 for the gross margin
The net margin for Yum China Holdings Inc stands at 0.08. The total capital return value is set at 0.14. Equity return is now at value 15.02, with 7.87 for asset returns.
Based on Yum China Holdings Inc (YUMC), the company’s capital structure generated 0.26 points at debt to capital in total, while cash flow to debt ratio is standing at 0.71.
Currently, EBITDA for the company is 1.16 billion with net debt to EBITDA at 0.81. When we switch over and look at the enterprise to sales, we see a ratio of 1.73. The receivables turnover for the company is 143.08for trailing twelve months and the total asset turnover is 1.02. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.18.
Conclusion
In conclusion, Yum China Holdings Inc (YUMC) has seen mixed performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
