Domino’s Pizza Group (OTCMKTS:DMPZF) & Yum China (NYSE:YUMC) Financial Analysis

Yum China (NYSE:YUMC) and Domino’s Pizza Group (OTCMKTS:DMPZF) are both consumer discretionary companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, risk, earnings, profitability, valuation and dividends.

Earnings & Valuation

This table compares Yum China and Domino’s Pizza Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Yum China	$11.80 billion	1.40	$929.00 million	$2.73	17.61
Domino’s Pizza Group	N/A	N/A	N/A	N/A	N/A

Yum China has higher revenue and earnings than Domino’s Pizza Group.

Profitability

This table compares Yum China and Domino’s Pizza Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Yum China	7.84%	15.73%	8.96%
Domino’s Pizza Group	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Yum China and Domino’s Pizza Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Yum China	0	1	3	0	2.75
Domino’s Pizza Group	0	2	0	0	2.00

Yum China presently has a consensus price target of $59.21, suggesting a potential upside of 23.15%. Given Yum China’s stronger consensus rating and higher probable upside, equities analysts clearly believe Yum China is more favorable than Domino’s Pizza Group.

Institutional & Insider Ownership

85.6% of Yum China shares are held by institutional investors. 0.4% of Yum China shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Yum China beats Domino’s Pizza Group on 9 of the 9 factors compared between the two stocks.

About Yum China

Yum China Holdings, Inc. owns, operates, and franchises restaurants in the People's Republic of China. The company operates through KFC, Pizza Hut, and All Other segments. It operates restaurants under the KFC, Pizza Hut, Taco Bell, Lavazza, Little Sheep, and Huang Ji Huang concepts. The company also operates V-Gold Mall, a mobile e-commerce platform to sell products; and offers online food deliver services. Yum China Holdings, Inc. was founded in 1987 and is headquartered in Shanghai, the People's Republic of China.

About Domino’s Pizza Group

Domino's Pizza Group plc owns, operates, and franchises Domino's Pizza stores. It operates stores in the United Kingdom and the Republic of Ireland, as well as leases its stores. The company was formerly known as Domino's Pizza UK & IRL plc and changed its name to Domino's Pizza Group plc in May 2012. Domino's Pizza Group plc was founded in 1960 and is based in Milton Keynes, the United Kingdom.