Collins Foods, which operates about 40 per cent of the KFC outlets in Australia, has been a winner this year for astute investors who predicted households battling rising cost-of-living pressures would steer towards value fast food offerings.

The company’s shares have climbed 42 per cent since early January. But analysts have mixed views on whether it can keep up the momentum as the sector becomes even more crowded with the arrival of burger giant Wendy’s from the United States.