Yum China Holdings, Inc. (YUMC) Stock Analysis
Consumer Cyclical · Restaurants
Sell if holding. Momentum 2.5/10 is below the 5.0 floor at $45.48 — engine's falling-knife protection flags exit rather than catching a breakdown. Specifics: Concentration risk — Geographic: China; V7 low-quality RISK_OFF penalty: -0.5 (Q=4.8).
Yum China is the largest restaurant company in China by 2025 system sales, operating 18,101 restaurants including KFC (12,997), Pizza Hut (4,168), and emerging brands Lavazza, Huang Ji Huang, and Little Sheep. With $11.8B revenue in 2025 and approximately 83% company-owned... Read more
Sell if holding. Momentum 2.5/10 is below the 5.0 floor at $45.48 — engine's falling-knife protection flags exit rather than catching a breakdown. Specifics: Concentration risk — Geographic: China; V7 low-quality RISK_OFF penalty: -0.5 (Q=4.8). Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Score 5.8/10, high confidence.
Passes 7/8 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 79d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum. Suitability: moderate.
Recent Developments — Yum China Holdings, Inc.
Latest news
- Yum China Holdings Delivers 10% Revenue Growth in Q1 2026 - AlphaStreet — AlphaStreet positive
- Mondrian Dumps 5.5 Million Yum China Shares Worth $284.6 Million - The Motley Fool — The Motley Fool negative
- GuardCap Dumps Nearly Half Its Yum China (YUMC) Position - The Motley Fool — The Motley Fool negative
- Yum China Holdings, Inc. 2026 Q1 - Results - Earnings Call Presentation (NYSE:YUMC) 2026-04-29 - Seeking Alpha — Seeking Alpha neutral
- Yum China Holdings (YUMC) Meets Q1 Earnings Estimates - Yahoo Finance — Yahoo Finance positive
Generated 2026-05-20T21:06:21Z.
Thesis
Key Metrics
Quality Signals
Concentration Risks(10-K Item 1A)
- HIGHGeographicChina10-K Item 1A: 'We derive substantially all of our revenue from our operations in China'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer
Rating Breakdown
1 floor-breaker
Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Momentum 2.5/10 is below the 5.0 floor at $45.48 — engine's falling-knife protection flags exit rather than catching a breakdown. Specifics: Concentration risk — Geographic: China; V7 low-quality RISK_OFF penalty: -0.5 (Q=4.8). Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Prior stop was $43.62. Score 5.8/10, high confidence.
Take-profit target: $55.52 (+22.1% upside). Prior stop was $43.62. Stop-loss: $43.62.
Concentration risk — Geographic: China; V7 low-quality RISK_OFF penalty: -0.5 (Q=4.8); Sector modifier (Consumer Cyclical): -1.5.
Yum China Holdings, Inc. trades at a P/E of 18.1 (forward 14.0). TrendMatrix value score: 7.4/10. Verdict: Sell.
30 analysts cover YUMC with a consensus score of 4.2/5. Average price target: $62.
What does Yum China Holdings, Inc. do?Yum China is the largest restaurant company in China by 2025 system sales, operating 18,101 restaurants including KFC...
Yum China is the largest restaurant company in China by 2025 system sales, operating 18,101 restaurants including KFC (12,997), Pizza Hut (4,168), and emerging brands Lavazza, Huang Ji Huang, and Little Sheep. With $11.8B revenue in 2025 and approximately 83% company-owned restaurants, it licenses KFC, Pizza Hut, and Taco Bell from Yum! Brands under a master license agreement.