The Zhitong Finance App learned that Goldman Sachs released a research report stating that it raised the 12-month target price of Yum China (09987) from HK$459 to HK$467 to maintain a “buy” rating (confidence list). The bank slightly raised the company's 2026-2028 net profit forecast by about 1% to 2% due to stronger RMB exchange assumptions and accelerated expansion and license savings after the takeover of the Pizza Hut brand, which was enough to offset the impact of the slowdown in same-store sales prospects in the second half of the year and 2027-2028.

Goldman Sachs expects Yum China to announce its results for the third quarter of 2026 in early November. Sales, restaurant profit and operating profit for the period increased by 9.3%, 9.2%, and 10.4% year-on-year respectively, and by 3.4%, 3.3%, and 4.5%, respectively, at a fixed exchange rate. The bank expects that KFC and Pizza Hut's same-store sales in the third quarter will both increase by 1% compared to the second quarter, equivalent to 89% and 86% of pre-pandemic levels, respectively. The net number of stores opened in the third quarter is expected to reach 470, bringing the total number of stores to 19,767.

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