Yum China’s P/E 19.04 Undercuts Dutch Bros’ 59.15, Value Grade B vs F
Yum China holds a Zacks Rank #2 (Buy) versus Dutch Bros’ #3 (Hold), reflecting stronger earnings outlook revisions for Yum China. Yum China’s forward P/E of 19.04 and P/B of 3.16 undercut Dutch Bros’ 59.15 P/E and 9.88 P/B, resulting in a Value grade B versus F.
1. Zacks Ranking Comparison
Yum China holds a Zacks Rank #2 (Buy) reflecting positive earnings estimate revisions, while Dutch Bros holds a Zacks Rank #3 (Hold). This indicates Yum China’s forecasted earnings are being revised upward more strongly than its competitor’s.
2. Valuation Metrics Analysis
Yum China’s forward P/E ratio stands at 19.04 and P/B at 3.16, compared with Dutch Bros’ forward P/E of 59.15 and P/B of 9.88. Yum China’s PEG ratio of 1.57 also trails Dutch Bros’ PEG of 1.75, signaling more attractive valuation multiples.
3. Style Score Implications
These metrics yield a Value grade of B for Yum China versus F for Dutch Bros in the Style Scores system. Value investors may favor Yum China’s combination of moderate multiples and upward earnings revisions when assessing relative value opportunities in the restaurant sector.