Does Yum China Holdings Inc (YUMC) offer a good opportunity for investors?

With 2.89 million shares changed hands, the volume of the stock remained heavier than its average volume of 2.3 million shares. The 52-week range on YUMC shows that it touched its highest point at $52.00 and its lowest point at $28.50 during that stretch. It currently has a 1-year price target of $59.13. With its current market cap of 17.96 billion, YUMC has annualized dividend of $0.64 while the current yield stands at 1.35%. Beta for the stock currently stands at 0.36.

Price Performance and Earnings:

Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of YUMC was down-trending over the past week, with a drop of -2.25%, but this was up by 5.09% over a month. Three-month performance surged to 0.15% while six-month performance rose 39.80%. The stock gained 14.37% in the past year, while it has lost -1.85% so far this year. A look at the trailing 12-month EPS for YUMC yields 2.33 with Next year EPS estimates of 2.91. For the next quarter, that number is 0.80. This implies an EPS growth rate of 9.47% for this year and 13.43% for next year. EPS is expected to grow by 11.63% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 4.26%.

Float and Shares Shorts:

At present, 378.00 million YUMC shares are outstanding with a float of 365.72 million shares on hand for trading.

Analysts Ratings:

Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for YUMC since 5 analysts follow the stock currently. There are 3 analysts who recommend BUY ratings, while 1 suggest SELL ratings. Of the remaining analysts, 1 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential.

EPS: Estimates vs Actual

It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. Analysts have provided yearly estimates in a range of $2.34509 being high and $2.27464 being low. For YUMC, this leads to a yearly average estimate of $2.3149. Based on analyst estimates, the high estimate for the next quarter is $0.63 and the low estimate is $0.59. The average estimate for the next quarter is thus $0.61.