GuardCap Dumps Nearly Half Its Yum China (YUMC) Position

What other to cognize

• The fund’s YUMC involvement present comprises 11.02% of its 13F AUM, down from 21.67% earlier the sale

• Top holdings aft the filing:

  • NASDAQ:CME: $272.27 cardinal (15.6% of AUM)

  • NASDAQ:BKNG: $137.46 cardinal (7.9% of AUM)

  • NYSE:CL: $134.99 cardinal (7.7% of AUM)

  • NYSE:MA: $132.41 cardinal (7.6% of AUM)

  • NYSE:UNH: $126.78 cardinal (7.3% of AUM)

• As of April 27, 2026, shares were priced astatine $47.73, up 4.4% implicit the past year, underperforming the S&P 500 by 22.8 percent points

• Yum China reported trailing twelve-month gross of $11.80 cardinal and nett income of $929.00 cardinal arsenic of Dec. 31, 2025

Company overview

Company snapshot

• Operates quick-service and casual eating brands specified arsenic KFC, Pizza Hut, Taco Bell, Little Sheep, Lavazza, and others, offering a diversified paper including chicken, pizza, blistery pot, coffee, and Chinese cuisine.

• Generates gross chiefly from company-operated and franchised restaurants, arsenic good arsenic e-commerce income via its V-Gold Mall platform.

• Targets mass-market consumers crossed China, operating implicit 12,000 restaurants successful astir 1,700 cities.

Yum China leverages a multi-brand portfolio to seizure divers user preferences and eating occasions crossed China’s edifice market.

What this transaction means for investors

I wouldn’t look astatine Guardcap’s merchantability of its Yum China involvement arsenic a motion the steadfast isn’t assured astir the investment. In the archetypal quarter, the steadfast reduced its 11 largest holdings by 44% oregon more. The portfolio finished the archetypal 4th with 27 holdings, the aforesaid arsenic astatine the extremity of 2025. The wide size of the portfolio, though, shrank from $3.7 cardinal to $1.7 billion.

This year, Yum China raised its quarterly dividend outgo to $0.29 per share. At caller prices, the banal offers a 2.4% dividend yield. In 5 years, Yum China has raised its dividend payout 141.7% higher.

Yum China precocious reported first-quarter results that suggest its accelerated gait of dividend maturation tin continue. Revenue roseate 10%, and operating profits roseate 12% twelvemonth implicit year. The institution opened a grounds fig of stores successful the archetypal quarter, but not astatine the disbursal of its shareholders. The institution is connected way to instrumentality $1.5 cardinal to shareholders this twelvemonth successful the signifier of stock buybacks and dividend payments.