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IHG vs. YUMC: InterContinental Hotels vs. Yum China Stock Comparison

How do InterContinental Hotels (IHG) and Yum China (YUMC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

InterContinental Hotels (IHG) and Yum China (YUMC) both belong to the Hotels, Restaurants & Leisure industry, though IHG is classified under Hotels, Resorts & Cruise Lines while YUMC falls under Restaurants.

Yum China (YUMC) trades as ordinary local shares, while InterContinental Hotels (IHG) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile comparison for InterContinental Hotels (IHG) and Yum China (YUMC)
Profile ItemIHGYUMC
NameInterContinental Hotels Group PLC ADRYum China Holdings, Inc.
Country/RegionUnited KingdomChina
GICS SectorConsumer DiscretionaryConsumer Discretionary
GICS Industry GroupConsumer ServicesConsumer Services
GICS IndustryHotels, Restaurants & LeisureHotels, Restaurants & Leisure
GICS Sub-IndustryHotels, Resorts & Cruise LinesRestaurants
Market Capitalization26.05 billion USD16.79 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateApril 10, 2003October 17, 2016
Security TypeADRCommon Stock

Price Performance

Cumulative Growth

IHG
YUMC
GSPC
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InterContinental Hotels (IHG) vs. Yum China (YUMC), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for InterContinental Hotels (IHG) and Yum China (YUMC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for InterContinental Hotels (IHG) and Yum China (YUMC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for InterContinental Hotels (IHG) and Yum China (YUMC)
MetricIHGYUMC
Total Return (1Y)39.88%17.02%
Total Return (3Y, Annualized)37.41%6.80%
Total Return (5Y, Annualized)22.58%-0.60%

Risk Profile

Drawdown History

IHG
YUMC
GSPC
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InterContinental Hotels (IHG) vs. Yum China (YUMC), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for InterContinental Hotels (IHG) and Yum China (YUMC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for InterContinental Hotels (IHG) and Yum China (YUMC)
MetricIHGYUMC
Volatility (1Y, Annualized)25.00%25.40%
Beta (5Y)1.090.01
Max Drawdown (5Y)-32.78%-53.84%
Avg. Volume (3M)213.26K1.59M

Risk-Adjusted Performance

Risk-Return Positioning

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IHG and YUMC are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for InterContinental Hotels (IHG) and Yum China (YUMC)
MetricIHGYUMC
Sharpe Ratio (1Y)1.420.50
Sortino Ratio (1Y)2.310.77

Profitability

ROE (TTM)

Capital efficiency shows on one side only: Yum China (YUMC) earns 17.35% on shareholders’ equity, ranked against its industry; InterContinental Hotels (IHG) has no ROE this period.

IHG

Consumer Services industry group

--

Max
76.75%
Q3
34.07%
Median
15.90%
Q1
3.23%
Min
-40.61%
IHG
--

YUMC

Consumer Services industry group

17.35%

Max
76.75%
Q3
34.07%
YUMC
17.35%
Median
15.90%
Q1
3.23%
Min
-40.61%
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InterContinental Hotels (IHG) vs. Yum China (YUMC): IHG does not report ROE, so it has no value marker; YUMC is benchmarked against the Consumer Services industry group.

Net Margin (TTM)

InterContinental Hotels (IHG) at 13.40% retains a top-quartile share of revenue as profit, ahead of Yum China (YUMC) at 7.90%, which keeps about the industry-typical share.

IHG

Consumer Services industry group

13.40%

Max
25.52%
IHG
13.40%
Q3
12.95%
Median
6.63%
Q1
1.46%
Min
-14.36%

YUMC

Consumer Services industry group

7.90%

Max
25.52%
Q3
12.95%
YUMC
7.90%
Median
6.63%
Q1
1.46%
Min
-14.36%
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InterContinental Hotels (IHG) vs. Yum China (YUMC): A comparison of their net margin against the Consumer Services industry group benchmark.

Operating Margin (TTM)

InterContinental Hotels (IHG) at 25.12% operates in the top operating margin quartile, ahead of Yum China (YUMC) at 13.09%, which runs around its industry’s norm.

IHG

Consumer Services industry group

25.12%

Max
49.05%
IHG
25.12%
Q3
24.35%
Median
14.23%
Q1
5.67%
Min
-16.47%

YUMC

Consumer Services industry group

13.09%

Max
49.05%
Q3
24.35%
Median
14.23%
YUMC
13.09%
Q1
5.67%
Min
-16.47%
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InterContinental Hotels (IHG) vs. Yum China (YUMC): A comparison of their operating margin against the Consumer Services industry group benchmark.

Profitability Metrics

Profitability metrics for InterContinental Hotels (IHG) and Yum China (YUMC)
MetricIHGYUMC
ROE (TTM)--17.35%
ROA (TTM)15.51%7.81%
Net Margin (TTM)13.40%7.90%
Operating Margin (TTM)25.12%13.09%
Gross Margin (TTM)60.97%20.45%

Growth

Revenue Growth

Both InterContinental Hotels (IHG) at 5.40% and Yum China (YUMC) at 4.37% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

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InterContinental Hotels (IHG) vs. Yum China (YUMC): A comparison of their Revenue Growth across different time periods.

EPS Growth

Only one side can be read here: Yum China (YUMC) reports EPS growth of 7.73%, ranked against its industry; InterContinental Hotels (IHG) has no EPS growth figure this period.

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InterContinental Hotels (IHG) vs. Yum China (YUMC): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for InterContinental Hotels (IHG) and Yum China (YUMC)
MetricIHGYUMC
Revenue Growth (YoY)5.40%4.37%
Revenue Growth (3Y CAGR)10.06%7.23%
EPS Growth (YoY)--7.73%
EPS Growth (3Y CAGR)33.17%34.14%

Financial Strength

Current Ratio (MRQ)

Both InterContinental Hotels (IHG) at 0.66 and Yum China (YUMC) at 0.67 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.

IHG

Consumer Services industry group

0.66

Max
3.41
Q3
1.85
Median
1.06
Q1
0.72
IHG
0.66
Min
0.22

YUMC

Consumer Services industry group

0.67

Max
3.41
Q3
1.85
Median
1.06
Q1
0.72
YUMC
0.67
Min
0.22
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InterContinental Hotels (IHG) vs. Yum China (YUMC): A comparison of their current ratio against the Consumer Services industry group benchmark.

Debt / Equity (MRQ)

Only one side’s leverage can be read here: Yum China (YUMC) carries debt-to-equity ratio of 0.54 against its industry range, while InterContinental Hotels (IHG) reports no figure this period.

IHG

Consumer Services industry group

--

Max
6.12
Q3
2.93
Median
1.29
Q1
0.37
Min
0.01
IHG
--

YUMC

Consumer Services industry group

0.54

Max
6.12
Q3
2.93
Median
1.29
YUMC
0.54
Q1
0.37
Min
0.01
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InterContinental Hotels (IHG) vs. Yum China (YUMC): IHG does not report debt-to-equity ratio, so it has no value marker; YUMC is benchmarked against the Consumer Services industry group.

Financial Strength Metrics

Financial strength metrics for InterContinental Hotels (IHG) and Yum China (YUMC)
MetricIHGYUMC
Current Ratio (MRQ)0.660.67
Debt / Equity (MRQ)--0.54
Net Debt / EBITDA2.890.85

Dividends

Dividend Yield (TTM)

Yum China (YUMC) at 2.23% delivers top-quartile income for its industry, while InterContinental Hotels (IHG) at 1.08% pays a more typical yield — both are credible income propositions, YUMC the richer one.

IHG

Consumer Services industry group

1.08%

Max
4.10%
Q3
1.82%
IHG
1.08%
Median
0.00%
Q1
0.00%
Min
0.00%

YUMC

Consumer Services industry group

2.23%

Max
4.10%
YUMC
2.23%
Q3
1.82%
Median
0.00%
Q1
0.00%
Min
0.00%
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InterContinental Hotels (IHG) vs. Yum China (YUMC): A comparison of their dividend yield against the Consumer Services industry group benchmark.

Dividend Payout Ratio (TTM)

Both InterContinental Hotels (IHG) at 39.21% and Yum China (YUMC) at 38.54% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.

IHG

Consumer Services industry group

39.21%

Max
89.80%
IHG
39.21%
Q3
36.83%
Median
0.00%
Q1
0.00%
Min
0.00%

YUMC

Consumer Services industry group

38.54%

Max
89.80%
YUMC
38.54%
Q3
36.83%
Median
0.00%
Q1
0.00%
Min
0.00%
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InterContinental Hotels (IHG) vs. Yum China (YUMC): A comparison of their payout ratio against the Consumer Services industry group benchmark.

Dividend Metrics

Dividend metrics for InterContinental Hotels (IHG) and Yum China (YUMC)
MetricIHGYUMC
Dividend Yield (TTM)1.08%2.23%
Dividend Payout Ratio (TTM)39.21%38.54%

Valuation

P/E Ratio (TTM)

Yum China (YUMC) at 17.34 is near its industry’s usual P/E ratio, while InterContinental Hotels (IHG) at 37.95 sits in the richer quartile — IHG needs stronger growth or earnings quality to justify the premium.

IHG

Consumer Services industry group

37.95

Max
71.70
IHG
37.95
Q3
37.12
Median
21.88
Q1
13.00
Min
5.72

YUMC

Consumer Services industry group

17.34

Max
71.70
Q3
37.12
Median
21.88
YUMC
17.34
Q1
13.00
Min
5.72
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InterContinental Hotels (IHG) vs. Yum China (YUMC): A comparison of their P/E ratio against the Consumer Services industry group benchmark.

P/S Ratio (TTM)

Yum China (YUMC) at 1.32 is priced about in line with its industry on P/S ratio, while InterContinental Hotels (IHG) at 4.89 sits in the pricier quartile — IHG costs more per dollar of sales.

IHG

Consumer Services industry group

4.89

Max
6.40
IHG
4.89
Q3
3.01
Median
1.54
Q1
0.74
Min
0.08

YUMC

Consumer Services industry group

1.32

Max
6.40
Q3
3.01
Median
1.54
YUMC
1.32
Q1
0.74
Min
0.08
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InterContinental Hotels (IHG) vs. Yum China (YUMC): A comparison of their P/S ratio against the Consumer Services industry group benchmark.

P/B Ratio (MRQ)

InterContinental Hotels (IHG) reports a negative P/B ratio of -53.91, meaning negative book equity — the multiple itself is not meaningful for valuation. Meanwhile Yum China (YUMC) reports 3.19, ranking against industry peers normally.

IHG

Consumer Services industry group

-53.91

Max
12.02
Q3
5.58
Median
2.37
Q1
1.09
Min
-4.51
IHG
-53.91

YUMC

Consumer Services industry group

3.19

Max
12.02
Q3
5.58
YUMC
3.19
Median
2.37
Q1
1.09
Min
-4.51
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InterContinental Hotels (IHG) vs. Yum China (YUMC): A comparison of their P/B ratio against the Consumer Services industry group benchmark.

Valuation Metrics

Valuation metrics for InterContinental Hotels (IHG) and Yum China (YUMC)
MetricIHGYUMC
P/E Ratio (TTM)37.9517.34
P/S Ratio (TTM)4.891.32
P/B Ratio (MRQ)-53.913.19
Free Cash Flow Yield (TTM)3.51%-2.30%