According to CITIC Securities, it is still optimistic about Yum China (09987)'s long-term steady growth capacity.
The Zhitong Finance App learned that CITIC Securities released a research report stating that maintaining the Yum China (09987) “buy” rating, it is still optimistic about the company's long-term steady growth capacity. Referring to the historical average valuation level (20-30xPE), the company is 25 times PE corresponding to 2024, with a target price of HK$432. The bank believes that KFC's brand strength is still outstanding. The company maintained the 2024-26 system sales and operating profit achieved high unit to double-digit CAGR and EPS to achieve double-digit CAGR, and further expanded shareholder feedback and steady mid-term returns, adding an adjusted net profit forecast of US$1.06 billion for 2026. The current price is 18/17/16 times PE for 2024-26, respectively.