Daiwa: Yum China Holdings (YUMC.US) reiterates growth target and is included in the list of preferred stocks. Target price is $57.

According to the Smart Financial APP, Morgan Stanley released a research report stating that Yum China (YUMC.US, 09987) has been included in their top stock list (TOP PICK). Based on the basic situation (EV/EBITDA), Yum China has maintained a 30% premium relative to the average EV/EBITDA of the Chinese consumer industry since its listing in 2016. By applying a target multiple of 10 times the estimated EBITDA for 2025, the target price is $57. The current expected EV/EBITDA for the consumer industry in 2025 is 8.5 times, and Morgan Stanley believes that this premium is reasonable because the company has continued to outperform its peers in cost savings and efficiency improvements.