Core Viewpoint - Jianyin International has raised the target price for Yum China (09987, YUMC.US) by 2.5% to HKD 453.2 and USD 58.1, maintaining an "outperform" rating [1] Group 1: Company Strategy - Yum China announced a new RGM 3.0 strategy focused on resilience, growth, and competitive advantage during its investor day on November 17, 2025, in Shenzhen [1] - The company has set an ambitious expansion plan aiming to exceed 25,000 stores by fiscal year 2028 and over 30,000 stores by fiscal year 2030 [1] - The expansion strategy is based on diversified brands, segmented products and services, and tailored store models to meet different customer needs [1] Group 2: Financial Projections - Jianyin International has increased its core earnings forecast for fiscal year 2026 by 3%, primarily due to improved POS growth expectations [1] - The target price for U.S. and Hong Kong stocks has been adjusted while maintaining a price-to-earnings ratio of 22 times for fiscal year 2026 [1] - Yum China plans to allocate 100% of its free cash flow to shareholders starting from fiscal year 2027, with an expected average annual return of USD 900-1,000 million for fiscal years 2027-2028, translating to an approximate 6% annualized shareholder return [1]
建银国际：上调百胜中国目标价至453.2港元 维持“跑赢大市”评级