Macquarie Downgrades Yum China (NYSE:YUMC) to Underperform

Yum China (NYSE:YUMC) was downgraded by investment analysts at Macquarie from a “neutral” rating to an “underperform” rating in a report released on Wednesday, Briefing.com reports.

Separately, The Goldman Sachs Group upped their price target on shares of Yum China from $74.00 to $77.00 and gave the stock a “buy” rating in a research report on Wednesday, July 7th. One equities research analyst has rated the stock with a sell rating, two have assigned a hold rating and four have issued a buy rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $85.18.

YUMC stock traded down $3.79 during midday trading on Wednesday, hitting $57.43. 39,815 shares of the company’s stock were exchanged, compared to its average volume of 2,044,810. The stock has a market capitalization of $24.17 billion, a price-to-earnings ratio of 23.91, a price-to-earnings-growth ratio of 3.32 and a beta of 0.79. The firm has a 50 day moving average price of $62.40 and a 200-day moving average price of $62.81. Yum China has a 12-month low of $49.81 and a 12-month high of $69.67.

Yum China (NYSE:YUMC) last announced its quarterly earnings data on Wednesday, July 28th. The company reported $0.42 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $0.43 by ($0.01). The firm had revenue of $2.45 billion during the quarter, compared to the consensus estimate of $2.49 billion. Yum China had a net margin of 10.41% and a return on equity of 12.77%. On average, sell-side analysts forecast that Yum China will post 1.91 earnings per share for the current fiscal year.

Institutional investors have recently modified their holdings of the company. Parametric Portfolio Associates LLC grew its position in Yum China by 0.8% during the second quarter. Parametric Portfolio Associates LLC now owns 896,701 shares of the company’s stock valued at $59,406,000 after purchasing an additional 6,844 shares in the last quarter. B. Metzler seel. Sohn & Co. Holding AG grew its holdings in shares of Yum China by 11.5% during the 2nd quarter. B. Metzler seel. Sohn & Co. Holding AG now owns 148,839 shares of the company’s stock valued at $9,861,000 after acquiring an additional 15,406 shares in the last quarter. Y Intercept Hong Kong Ltd acquired a new position in shares of Yum China in the second quarter worth $1,117,000. Comerica Bank raised its holdings in shares of Yum China by 1.6% during the second quarter. Comerica Bank now owns 22,689 shares of the company’s stock worth $1,338,000 after acquiring an additional 362 shares in the last quarter. Finally, EP Wealth Advisors LLC boosted its position in Yum China by 12.9% during the second quarter. EP Wealth Advisors LLC now owns 4,162 shares of the company’s stock valued at $276,000 after purchasing an additional 477 shares during the last quarter. 81.50% of the stock is owned by institutional investors and hedge funds.

Yum China Company Profile

Yum China Holdings, Inc engages in the operation and management of restaurants and fast food chains. It operates through the following segments: Kentucky Fried Chicken (KFC), Pizza Hut, and All Other Segments. The KFC segment operates restaurant chain. The Pizza Hut segment covers the Pizza Hut casual dining and Pizza Hut home service.

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Analyst Recommendations for Yum China (NYSE:YUMC)

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