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Company Results | Yum China Holdings, Inc (9987 HK/BUY/HK$378.80/Target: HK$513.70)
YUMC’s 3Q26 SSSG missed expectations but operating profit beat. For 4Q26, management targets a sequential SSS improvement and roughly flat OP margin (before considering a 0.5-0.6ppt benefit from the PH acquisition). In addition, the 2026 net new store opening target has been raised from 1,900 to over 2,400. For 2027, it reiterates SSSG of 0-2% and diluted EPS growth in the double digits (including the mid-single-digit accretion from the PH acquisition). Maintain BUY and keep target price unchanged at HK$513.70.
Top Stories
Company Results | Yum China Holdings, Inc (9987 HK/BUY/HK$378.80/Target: HK$513.70)
YUMC’s 3Q26 SSSG missed expectations but operating profit beat. For 4Q26, management targets a sequential SSS improvement and roughly flat OP margin (before considering a 0.5-0.6ppt benefit from the PH acquisition). In addition, the 2026 net new store opening target has been raised from 1,900 to over 2,400. For 2027, it reiterates SSSG of 0-2% and diluted EPS growth in the double digits (including the mid-single-digit accretion from the PH acquisition). Maintain BUY and keep target price unchanged at HK$513.70.
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