Yum China Holdings, Inc.

NYSE:YUMC Stock Report

Market Cap: US$19.1b

Yum China Holdings Valuation

Is YUMC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of YUMC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: YUMC ($50.42) is trading below our estimate of fair value ($51.14)

Significantly Below Fair Value: YUMC is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for YUMC?

Key metric: As YUMC is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for YUMC. This is calculated by dividing YUMC's market cap by their current earnings.
What is YUMC's PE Ratio?
PE Ratio21.4x
EarningsUS$893.00m
Market CapUS$19.10b

Price to Earnings Ratio vs Peers

How does YUMC's PE Ratio compare to its peers?

The above table shows the PE ratio for YUMC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.7x
DRI Darden Restaurants
21x8.2%US$21.9b
DPZ Domino's Pizza
26x5.9%US$14.9b
QSR Restaurant Brands International
16.7x10.8%US$29.7b
TXRH Texas Roadhouse
31.2x12.4%US$12.2b
YUMC Yum China Holdings
21.4x8.7%US$19.1b

Price-To-Earnings vs Peers: YUMC is good value based on its Price-To-Earnings Ratio (21.4x) compared to the peer average (23.7x).

Price to Earnings Ratio vs Industry

How does YUMC's PE Ratio compare vs other companies in the US Hospitality Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
THRS.F Agility Real Estate
1.7xn/aUS$2.05m
No more companies available in this PE range
YUMC 21.4xIndustry Avg. 23.6xNo. of Companies14PE01632486480+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: YUMC is good value based on its Price-To-Earnings Ratio (21.4x) compared to the US Hospitality industry average (23.6x).

Price to Earnings Ratio vs Fair Ratio

What is YUMC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

YUMC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.4x
Fair PE Ratio23.7x

Price-To-Earnings vs Fair Ratio: YUMC is good value based on its Price-To-Earnings Ratio (21.4x) compared to the estimated Fair Price-To-Earnings Ratio (23.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst YUMC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$50.42
US$56.89
+12.8%
15.5%US$76.00US$35.00n/a25
Dec ’25US$46.55
US$56.67
+21.7%
15.5%US$76.00US$35.00n/a25
Nov ’25US$45.07
US$51.18
+13.5%
21.2%US$76.00US$35.00n/a25
Oct ’25US$47.35
US$46.63
-1.5%
19.5%US$76.00US$35.00n/a23
Sep ’25US$33.81
US$45.21
+33.7%
20.0%US$76.00US$35.00n/a23
Aug ’25US$30.05
US$49.92
+66.1%
21.6%US$76.00US$30.00n/a23
Jul ’25US$30.54
US$52.59
+72.2%
18.7%US$76.00US$30.00n/a23
Jun ’25US$35.76
US$53.39
+49.3%
17.6%US$76.00US$34.00n/a24
May ’25US$35.92
US$54.59
+52.0%
17.8%US$76.00US$34.00n/a24
Apr ’25US$40.19
US$56.67
+41.0%
16.8%US$80.00US$33.80n/a24
Mar ’25US$42.95
US$57.44
+33.7%
17.0%US$80.00US$33.80n/a24
Feb ’25US$35.47
US$59.52
+67.8%
18.7%US$80.00US$30.20n/a25
Jan ’25US$42.43
US$63.32
+49.2%
13.3%US$80.00US$43.60n/a25
Dec ’24US$43.73
US$64.47
+47.4%
12.9%US$80.00US$43.60US$46.5524
Nov ’24US$44.56
US$68.24
+53.1%
12.3%US$80.00US$43.60US$45.0723
Oct ’24US$55.72
US$73.54
+32.0%
8.3%US$84.00US$50.00US$47.3524
Sep ’24US$54.52
US$72.66
+33.3%
8.2%US$84.00US$50.00US$33.8125
Aug ’24US$57.37
US$72.57
+26.5%
7.6%US$84.00US$53.00US$30.0524
Jul ’24US$56.50
US$73.75
+30.5%
7.6%US$84.00US$53.00US$30.5424
Jun ’24US$57.13
US$73.04
+27.9%
8.9%US$84.00US$53.00US$35.7625
May ’24US$62.07
US$69.72
+12.3%
11.6%US$89.00US$44.00US$35.9224
Apr ’24US$63.39
US$69.72
+10.0%
11.6%US$89.00US$44.00US$40.1924
Mar ’24US$60.54
US$68.69
+13.5%
12.6%US$89.00US$44.00US$42.9524
Feb ’24US$62.23
US$64.42
+3.5%
13.9%US$84.00US$38.00US$35.4722
Jan ’24US$54.65
US$60.12
+10.0%
14.2%US$84.00US$38.00US$42.4323
Dec ’23US$54.78
US$59.15
+8.0%
14.1%US$84.00US$38.00US$43.7323

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/24 21:58
End of Day Share Price 2024/12/24 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Yum China Holdings, Inc. is covered by 63 analysts. 36 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Hong Xing PanABCI Securities Company Limited
Edward LewisAtlantic Equities LLP
Jiangqiao TongBOCI Research Ltd.