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Investors in Yum China Holdings, Inc. (NYSE:YUMC) had a good week, as its shares rose 4.7% to close at US$48.44 following the release of its yearly results. Yum China Holdings reported US$11b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of US$2.33 beat expectations, being 2.1% higher than what the analysts expected. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Yum China Holdings after the latest results.
See our latest analysis for Yum China Holdings
Taking into account the latest results, the current consensus from Yum China Holdings' 34 analysts is for revenues of US$12.0b in 2025. This would reflect a reasonable 5.7% increase on its revenue over the past 12 months. Per-share earnings are expected to rise 2.9% to US$2.49. In the lead-up to this report, the analysts had been modelling revenues of US$12.2b and earnings per share (EPS) of US$2.51 in 2025. The consensus seems maybe a little more pessimistic, trimming their revenue forecasts after the latest results even though there was no change to its EPS estimates.
The average price target was steady at US$58.27even though revenue estimates declined; likely suggesting the analysts place a higher value on earnings. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. Currently, the most bullish analyst values Yum China Holdings at US$76.00 per share, while the most bearish prices it at US$35.00. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 5.7% growth on an annualised basis. That is in line with its 6.6% annual growth over the past five years. Compare this with the broader industry (in aggregate), which analyst estimates suggest will see revenues grow 9.7% annually. So although Yum China Holdings is expected to maintain its revenue growth rate, it's forecast to grow slower than the wider industry.