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Yum China Holdings (YUMC) Stock Fundamentals, Analysis & Risk Signals

Health score, competitive moat, risk signals, and key metrics at a glance.

NYSE•Consumer Cyclical•Restaurants
C
AverageMetricSide Score: 50/100
ProfitabilityProfit20/30
GrowthGrowth12/25
Balance SheetBalance9/25
Cash QualityCash9/20
Price & Volume
Market Cap $14.72B

Yum China Holdings, Inc. owns, operates, and franchises restaurants in the People's Republic of China. The company operates KFC, Pizza Hut, and All Other segments. It operates restaurants under the KFC, Pizza Hut, Taco Bell, Lavazza, Little Sheep, and Huang Ji Huang concepts. The company also offers online food deliver services. Yum China Holdings, Inc. was founded in 1987 and is headquartered in Shanghai, the People's Republic of China.

Moat Signals

Competitive analysis based on 39 quarters of fundamental data

Pricing Power

Strong Moat

Operating margins are expanding at ~10.6%, suggesting durable pricing power and cost discipline.

Competitive Advantage

Moderate Moat

ROE averages 15.9% but has fluctuated — the competitive advantage may be cyclical or emerging.

Cash Generation

Moderate Moat

6 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.

Demand Durability

Strong Moat

TTM revenue has grown consistently (7 of 7 quarters up), with ~9.4% growth over the period. Strong demand durability.

Risk Signals

Data-driven red flags and warnings across 39 quarters

Low Risk

Margin Pressure

Healthy

Margins are stable or improving at ~10.9% — no sign of cost or pricing stress.

Earnings Quality

Healthy

FCF covers net income by 0.7x on average — earnings are well-supported by cash generation.

Leverage Risk

Healthy

Limited debt-to-equity data available.

Revenue Decline

Healthy

Revenue is stable or growing over recent quarters — demand appears durable.

Cash Burn

Watch

FCF turned negative in 2 of the last 8 quarters — occasional cash consumption.

Share Dilution

Healthy

Shares decreased 9.3% — net buybacks are reducing shares outstanding and boosting per-share value.

Metrics at a Glance

as of March 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue
$12.09B
6.7%
Q. Revenue
$3.27B
TTM EBITDA
$1.78B
5.3%
TTM Op. Income
$1.34B
12.7%
Q. Op. Income
$447.00M
TTM Net Income
$946.00M
3.3%
Q. Net Income
$309.00M
EPS
$0.88
Shares Out.
$353.00M
6.1%
$12.09B in TTM revenue grew 6.7% YoY, reaching $3.27B last quarter. TTM EBITDA of $1.78B and TTM operating income of $1.34B shows growth is flowing through. Net income of $946.00M TTM confirms the company is converting revenue into profit. Revenue is growing at a healthy pace — a signal to hold.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin
78.0%
1.5%
EBITDA Margin
17.2%
Op. Margin
13.7%
2.1%
Net Margin
9.4%
3.6%
Op. margin of 13.7% is up 0.3% YoY — cost efficiency is improving. Net margin at 9.4% and gross margin of 78.0% — earnings take a bigger bite when COGS stays lean..

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio
15.6x
P/S Ratio
1.2x
P/B Ratio
2.7x
At 15.6x P/E, the stock trades in line with market averages — fairly valued. P/S of 1.2x and P/B of 2.7x provide additional context. Assess whether the current multiple is justified by the company's growth and profitability trajectory.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets
$10.84B
Cash
$473.00M
Long-Term Debt
N/A
Book Value
$5.43B
D/E Ratio
N/A
Debt/EBITDA
0.0

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow
$550.00M
Free Cash Flow
$406.00M
28.9%
FCF Margin
3.4%
FCF / Net Income
1.3
FCF of $406.00M on $550.00M in operating cash flow. The FCF / Net Income ratio of 0.4x indicates partial cash conversion — earnings quality needs attention.

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