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Yum China Holdings Inc
NYSE:YUMC

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Yum China Holdings Inc
NYSE:YUMC
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Price: 48.69 USD 0.39%
Market Cap: $17.2B

EV/EBITDA

9
Current
2%
Cheaper
vs 3-y average of 9.2

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
9
=
Enterprise Value
$15.8B
/
EBITDA
$1.8B

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
9
=
Enterprise Value
$15.8B
/
EBITDA
$1.8B

Valuation Scenarios

Yum China Holdings Inc is trading below its 3-year average

If EV/EBITDA returns to its 3-Year Average (9.2), the stock would be worth $49.87 (2% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+221%
Average Upside
78%
Scenario EV/EBITDA Value Implied Price Upside/Downside
Current Multiple 9 $48.69
0%
3-Year Average 9.2 $49.87
+2%
5-Year Average 10.6 $57.6
+18%
Industry Average 15.4 $83.29
+71%
Country Average 28.8 $156.36
+221%

Forward EV/EBITDA
Today’s price vs future ebitda

Today's Enterprise Value EBITDA Forward EV/EBITDA
$15.8B
/
Jan 2026
$1.8B
=
9
Current
$15.8B
/
Dec 2026
$2B
=
7.8
Forward
$15.8B
/
Dec 2027
$2.2B
=
7.3
Forward
$15.8B
/
Dec 2028
$2.3B
=
6.8
Forward

Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.

Peer Comparison

All Multiples
EV/EBITDA
P/E
All Countries
Close
Market Cap EV/EBITDA P/E
CN
Yum China Holdings Inc
NYSE:YUMC
17.2B USD 9 18.6
US
McDonald's Corp
NYSE:MCD
214.9B USD 20.5 25.2
US
Starbucks Corp
NASDAQ:SBUX
111.4B USD 23.3 82.3
UK
Compass Group PLC
LSE:CPG
46.4B GBP 13.1 0.3
US
Chipotle Mexican Grill Inc
NYSE:CMG
47B USD 19.3 29.9
US
Yum! Brands Inc
NYSE:YUM
44.4B USD 19.4 28.6
CA
Restaurant Brands International Inc
NYSE:QSR
27.3B USD 14.2 46.4
IN
Eternal Ltd
NSE:ETERNAL
2.4T INR 386.9 1 036
US
Darden Restaurants Inc
NYSE:DRI
22.6B USD 13.1 20.6
CN
MIXUE Group
HKEX:2097
117.4B HKD 0 0
EV/EBITDA Multiple
EBITDA Growth EV/EBITDA to Growth
CN
Yum China Holdings Inc
NYSE:YUMC
Average EV/EBITDA: 57.6
9
9%
1
US
McDonald's Corp
NYSE:MCD
20.5
14%
1.5
US
Starbucks Corp
NASDAQ:SBUX
23.3
12%
1.9
UK
Compass Group PLC
LSE:CPG
13.1
16%
0.8
US
Chipotle Mexican Grill Inc
NYSE:CMG
19.3
10%
1.9
US
Yum! Brands Inc
NYSE:YUM
19.4
9%
2.2
CA
Restaurant Brands International Inc
NYSE:QSR
14.2
8%
1.8
IN
Eternal Ltd
NSE:ETERNAL
386.9
115%
3.4
US
Darden Restaurants Inc
NYSE:DRI
13.1
8%
1.6
CN
M
MIXUE Group
HKEX:2097
Not Available
17%
N/A

Market Distribution

Lower than 86% of companies in China
Percentile
14th
Based on 5 409 companies
14th percentile
9
Low
0 — 16.3
Typical Range
16.3 — 53.1
High
53.1 —
Distribution Statistics
China
Min 0
30th Percentile 16.3
Median 28.8
70th Percentile 53.1
Max 49 021

Yum China Holdings Inc
Glance View

Yum China Holdings Inc., born from the split of its parent company Yum! Brands in 2016, quickly became a formidable player in the world of fast food in China, a land known for its dining diversity and explosive economic growth. This savvy spin-off managed a unique alchemy, blending Western brands with the local palate through household names like KFC and Pizza Hut. As the vast and varied Chinese market opened its doors wider, Yum China strategically expanded its reach across bustling cities and burgeoning towns. With every crispy chicken leg and cheesy slice, they began grasping the nuances of local tastes and dining habits, going beyond mere adaptation and evolving into an integral part of China's food culture. Central to Yum China's business model is its ability to merge the robust efficiency of a global fast-food chain with a locally attuned approach to business. They generate revenue through a sprawling network of company-owned and franchised stores, leveraging their presence in high-traffic locations. With a keen focus on digital innovation, Yum China has embraced cutting-edge technology to refine its customer engagement, from mobile ordering to specialized dietary options. Their prosperity isn't just based on serving food; it's about creating a seamless, delightful dining experience tailored to the ever-evolving expectations of Chinese consumers. In the process, Yum China capitalizes on cost efficiencies and scale, reinforcing its standing as a significant player in the competitive landscape of quick-service restaurants.

YUMC Intrinsic Value
51.91 USD
Undervaluation 6%
Intrinsic Value
Price $48.69
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