YUMC (Yum China Holdings) Inventory Turnover: 6.23 (As of Mar. 2026)

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Yum China Holdings Inc YUMC

81 GF Score

Price $43.30

GF Value $54.18

Valuation Modestly Undervalued

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What is Yum China Holdings Inventory Turnover?

Yum China Holdings YUMC -1.37% 81 Inventory Turnover is 6.23 as of Mar. 2026. GuruFocus rates YUMC with a GF Score™ of 81/100 and a GF Value™ of $54.18 (Modestly Undervalued).

Inventory Turnover measures how fast the company turns over its inventory within a year. It is calculated as Cost of Goods Sold divided by Total Inventories. Yum China Holdings's Cost of Goods Sold for the three months ended in Mar. 2026 was $2,656 Mil. Yum China Holdings's Average Total Inventories for the quarter that ended in Mar. 2026 was $426 Mil. Yum China Holdings's Inventory Turnover for the quarter that ended in Mar. 2026 was 6.23.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Yum China Holdings's Days Inventory for the three months ended in Mar. 2026 was 14.64.

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. Yum China Holdings's Inventory-to-Revenue for the quarter that ended in Mar. 2026 was 0.13.

Yum China Holdings (NYSE:YUMC) Inventory Turnover Explanation

Inventory Turnover measures how fast the company turns over its inventory within a year. A higher Inventory Turnover means the company has light inventory. Therefore the company spends less money on storage, write downs, and obsolete inventory. If the inventory is too light, it may affect sales because the company may not have enough to meet demand.

1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

Yum China Holdings's Days Inventory for the three months ended in Mar. 2026 is calculated as:

Days Inventory	=	Average Total Inventories (Q: Mar. 2026 )	/	Cost of Goods Sold (Q: Mar. 2026 )	*	Days in Period
	=	426	/	2656	*	365 / 4
	=	14.64

2. Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

Yum China Holdings's Inventory to Revenue for the quarter that ended in Mar. 2026 is calculated as

Inventory-to-Revenue	=	Average Total Inventories (Q: Mar. 2026 )	/	Revenue (Q: Mar. 2026 )
	=	426	/	3271
	=	0.13

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Be Aware

Usually retailers pile up their inventories at holiday seasons to meet the stronger demand. Therefore, the inventory of a particular quarter of a year should not be used to calculate Inventory Turnover. An average inventory is a better indication.

Yum China Holdings Inventory Turnover Related Terms

Yum China Holdings Inventory Turnover Historical Data

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The historical data trend for Yum China Holdings's Inventory Turnover can be seen below:

Yum China Holdings Inventory Turnover Chart

Yum China Holdings Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

Inventory Turnover

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20.35

19.18

21.62

22.71

23.15

Yum China Holdings Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
Inventory Turnover	Get a 7-Day Free Trial															6.56	6.71	7.01	5.84	6.23

81GF Score

Yum China Holdings Inc YUMC

Inventory Turnover is just one metric. See GF Score™, valuation, warning signs, and more.

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Yum China Holdings Inventory Turnover Calculation

Yum China Holdings's Inventory Turnover for the fiscal year that ended in Dec. 2025 is calculated as

	Inventory Turnover (A: Dec. 2025 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (A: Dec. 2025 )	/ (	(Total Inventories (A: Dec. 2024 )	+	Total Inventories (A: Dec. 2025 ))	/	count )
=	9758	/ (	(405	+	438)	/	2 )
=	9758	/	421.5
=	23.15

Yum China Holdings's Inventory Turnover for the quarter that ended in Mar. 2026 is calculated as

	Inventory Turnover (Q: Mar. 2026 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (Q: Mar. 2026 )	/ (	(Total Inventories (Q: Dec. 2025 )	+	Total Inventories (Q: Mar. 2026 ))	/	count )
=	2656	/ (	(438	+	414)	/	2 )
=	2656	/	426
=	6.23

Frequently Asked Questions Learn more about Inventory Turnover →

What does a Inventory Turnover of 6.23 mean?

Yum China Holdings (YUMC) has a Inventory Turnover of 6.23 as of Mar. 2026. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Yum China Holdings and its competitors.

Is Yum China Holdings' Inventory Turnover too high?

Yum China Holdings' current Inventory Turnover is 6.23. Overall, Yum China Holdings has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.

How does Yum China Holdings' Inventory Turnover compare to TXRH and DPZ?

Yum China Holdings' Inventory Turnover of 6.23 can be compared against companies in the Restaurants industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good Inventory Turnover for a Restaurants company?

A good Inventory Turnover depends on the Restaurants industry context. However, Inventory Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high Inventory Turnover mean?

A high Inventory Turnover can signal that a stock is expensive relative to its fundamentals. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Yum China Holdings and its competitors. Yum China Holdings's current Inventory Turnover is 6.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Yum China Holdings stock overvalued right now?

Based on GuruFocus' analysis, Yum China Holdings (YUMC) is currently considered Modestly Undervalued. The stock's GF Value™ is $54.18, compared to a current price of $43.30 — trading 20.1% below its estimated fair value. The current Inventory Turnover is 6.23. Yum China Holdings' overall GF Score™ is 81/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is Inventory Turnover calculated?

Inventory Turnover is calculated from a company's financial statements. For Yum China Holdings (YUMC), the current Inventory Turnover is 6.23 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Yum China Holdings (YUMC) Overvalued in 2026?

Based on GuruFocus' analysis, Yum China Holdings stock appears to be undervalued. The current stock price of $43.30 is trading 20.1% below its estimated GF Value™ of $54.18. GuruFocus considers Yum China Holdings to be Modestly Undervalued.

Key valuation signals for YUMC:

Inventory Turnover: 6.23
GF Value™: $54.18 vs. price of $43.30 (20.1% below fair value)
GF Score™: 81/100

No single metric tells the full story. See the YUMC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Yum China Holdings Business Description

Industry Consumer Cyclical Restaurants

Comparable Companies TXRH DPZ BROS CAVA LKNCY EAT WING CAKE DRI SHAK MCD SBUX LSE:CPG YUM CMG TSX:QSR TSX:QSP.UN TSE:7550 HKSE:06862 TSE:3563

Other Exchanges YUMC:Mexico 09987:Hong Kong 0M30:UK 0YU:Germany

Address 20 Tian Yao Qiao Road, Yum China Building, Shanghai, CHN, 200030

Website https://www.yumchina.com

Yum China is the largest restaurant operator in China, with over 18,000 locations and USD 12 billion in systemwide sales as of 2025. It generates revenue primarily from its own restaurants and franchise fees. While KFC and Pizza Hut are its flagship brands, Yum China's portfolio also includes Little Sheep, Taco Bell, Huang Ji Huang, and Lavazza.As a trademark licensee of Yum Brands, Yum China pays 3% of KFC and Pizza Hut's systemwide sales to its former parent, from which it spun off in 2016. However, even before the separation, Yum China was granted substantial autonomy, giving its Chinese leadership decision-making authority over menu, supply chain, and marketing—an unusual practice for Western chains at the time.

81GF Score

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Inventory Turnover is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$43.30

Price

$54.18

GF Value

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