BUZZ-Yum China's Hong Kong shares rise on expansion of share repurchase

Reuters2023-11-03

** Hong Kong shares of Yum China climb 5.5% to HK$369.20

** Stock heading for biggest one-day pct rise since Nov. 4, 2022 if gains hold, but on course to end week down 11.9%, its worst since debut

** U.S.-listed shares rose 2.7% on Thursday

** Yum China says its board of directors has increased the company's share repurchase authorization by $1 bln to an aggregate of $3.4 bln

** Co says it has repurchased shares worth $1.6 bln so far

** HSBC maintains "buy" but lowers PT of the U.S. shares to $72.80 from $79.20 and Hong Kong stock to HK$567.80 from HK$617.80, reflecting earnings revisions with value campaigns stalling margin expansion

** CMB International keeps "buy" but cuts PT to HK$435.82 from HK$609.41; downgrades net profit forecast to factor in slower same store sales growth and less operating leverage

** Co's Hong Kong-listed stock down 16.6% YTD

(Reporting by Donny Kwok)

((donny.kwok@thomsonreuters.com))

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