Added to YB: 2026-04-24
Pitch date: 2026-04-22
CHA [neutral]
Chagee Holdings Limited
-0.64%
current return
Author Info
No bio for this author
Company Info
Chagee Holdings Limited, through its subsidiaries, owns, operates, and franchises teahouses under the CHAGEE brand name in the People’s Republic of China and internationally.
Market Cap
$13.1B
Pitch Price
$10.99
Price Target
N/A
Dividend
N/A
EV/EBITDA
4.24
P/E
11.45
EV/Sales
0.52
Sector
Hotels, Restaurants and Leisure
Category
value
Chagee: Profits attract competition, competition destroys profits
CHA (pass): Q4'25 reveals oversaturated market - franchised stores down 136 while co-owned up 168 as CHA takes over unprofitable franchisees. Overseas same-store GMV worsened from -23% to -26% QoQ. Active members metric removed suggests decline. Slow product innovation vs rivals; bestseller sales falling on taste fatigue. 2nd-hand equipment piling up. Low barriers - competitors copy automated machines. Trading 7x NTM P/E but deteriorating fundamentals.
Read full article (6 min)