Yum China Holdings, Inc.
$50.86
+1.65 (+3.35%) · delayed · Nov 13, 2026
Five-year price
52w $39.72 to $58.39
- Market cap
- $17.1B
- Enterprise value
- $16.7B
- P/E
- 20.3×
- 22.4× on 3y avg EPS
- EV / EBIT
- 12.9×
- FCF yield
- 4.9%
- ROIC
- 19.2%
- Debt / equity
- 0.01
- Piotroski F
- 7/9
Value scorecard · FY2025
Does it pass the value tests?
Quality
83
- ●ROIC > 12% (5y avg)5y avg ROIC 15.2%
- ○ROE > 15% (5y avg)5y avg ROE 13.4%
- ●Stable operating marginsMargin volatility 2.4% (σ, 5y)
- ●Earnings convert to cashFCF / net income 94% (5y avg)
- ●Growing revenueRevenue CAGR 5y 7.4%
- ●Shrinking share countDiluted shares -7.7% over 5y
Value
0
- ○P/E below 15P/E 20.3
- ○EV/EBIT below 12EV/EBIT 12.9
- ○FCF yield above 6%FCF yield 4.9%
- ○Price below Graham NumberGraham Number $30.03
- ○P/B below 3P/B 3.2
Safety
75
- ●Debt / equity below 0.5D/E 0.01
- ●Debt payable in < 4 yrs of earningsNet debt $-0.5B
- –Interest coverage > 8xCoverage n/ax
- ○Current ratio > 1.5Current ratio 1.05
- ●Piotroski F-score ≥ 6F-score 7/9
Graham Defensive
43
- ●Adequate size (revenue > $2B)Revenue $11.8B
- ○Strong condition (current ratio ≥ 2)Current ratio 1.05
- ●Earnings stability (no loss, 10y)10 years of data
- ○Uninterrupted dividendsDividends paid every year on record
- ●Earnings growth ≥ 33% (10y, 3y avgs)EPS growth 64%
- ○Moderate P/E (≤ 15 on 3y avg EPS)P/E (3y avg) 22.4
- ○P/E × P/B ≤ 22.5Product 71.4
Valuation lab
What do you have to believe?
At $50.86, the market is pricing in about 5.5% annual free-cash-flow growth for the next decade (9% discount rate, 2.5% terminal growth).
Starting cash flow
Net debt −$476M · 337M shares · 5y revenue CAGR 7.4%
Intrinsic value
$56.64
Price
$50.86
Margin of safety
10%
What the price implies
The market is paying for 5.5% annual cash-flow growth for 10 years at a 9.0% discount rate.
Terminal value share
59% of the value sits beyond year 10.
Financial statements
A decade of the record.
USD millions · fiscal years · source: SEC 10-K XBRL
| Line item | FY16 | FY17 | FY18 | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 7,075 | 7,769 | 8,415 | 8,776 | 8,263 | 9,853 | 9,569 | 10,978 | 11,303 | 11,797 |
| Gross profit | — | — | — | — | — | — | — | — | — | — |
| Operating income | 634 | 778 | 941 | 901 | 961 | 1,386 | 629 | 1,106 | 1,162 | 1,290 |
| Operating margin | 9.0% | 10.0% | 11.2% | 10.3% | 11.6% | 14.1% | 6.6% | 10.1% | 10.3% | 10.9% |
| Pre-tax income | 666 | 803 | 950 | 1,003 | 1,108 | 1,392 | 687 | 1,226 | 1,331 | 1,358 |
| Income tax | 156 | 379 | 214 | 260 | 295 | 369 | 207 | 329 | 356 | 369 |
| Net income | 498 | 398 | 708 | 713 | 784 | 990 | 442 | 827 | 911 | 929 |
| EPS (diluted) | 1.35 | 1.00 | 1.79 | 1.84 | 1.95 | 2.28 | 1.04 | 1.97 | 2.33 | 2.51 |
| Diluted shares | 369 | 398 | 395 | 388 | 402 | 434 | 425 | 420 | 390 | 371 |
Who owns it