Chagee (NASDAQ:CHA) Stock Price Down 3.8% – Here’s What Happened

Chagee Holdings Limited – Sponsored ADR (NASDAQ:CHA)’s stock price traded down 3.8% on Tuesday . The stock traded as low as $11.81 and last traded at $11.7610. 194,926 shares were traded during mid-day trading, a decline of 72% from the average session volume of 696,744 shares. The stock had previously closed at $12.22.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the stock. Zacks Research raised shares of Chagee from a “strong sell” rating to a “hold” rating in a report on Monday, June 1st. Morgan Stanley reiterated an “overweight” rating and set a $15.50 target price on shares of Chagee in a research report on Friday, May 29th. Weiss Ratings downgraded Chagee from a “sell (d+)” rating to a “sell (d)” rating in a research note on Thursday, July 30th. The Goldman Sachs Group began coverage on Chagee in a research note on Sunday, June 21st. They issued a “neutral” rating and a $13.60 price target on the stock. Finally, CLSA started coverage on Chagee in a report on Sunday, May 31st. They set a “hold” rating and a $10.00 price objective on the stock. Two equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Chagee has a consensus rating of “Hold” and an average price target of $13.82.

Chagee Stock Down 2.9%

The business’s fifty day moving average is $11.23 and its 200 day moving average is $10.96. The stock has a market cap of $2.18 billion, a PE ratio of 11.75 and a beta of 1.60.

Chagee (NASDAQ:CHA) last posted its quarterly earnings results on Friday, August 28th. The company reported $0.37 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.33 by $0.04. The company had revenue of $502.59 million during the quarter. Chagee had a net margin of 10.23% and a return on equity of 16.43%. As a group, analysts predict that Chagee Holdings Limited – Sponsored ADR will post 1.31 EPS for the current year.

Institutional Trading of Chagee

A number of institutional investors have recently bought and sold shares of the company. Empowered Funds LLC acquired a new stake in Chagee in the 1st quarter valued at about $1,211,000. Renaissance Technologies LLC acquired a new position in Chagee during the first quarter worth about $2,511,000. Fosun International Ltd raised its position in Chagee by 19,295.0% during the fourth quarter. Fosun International Ltd now owns 7,447,088 shares of the company’s stock worth $86,610,000 after acquiring an additional 7,408,691 shares during the last quarter. Y Intercept Hong Kong Ltd purchased a new stake in shares of Chagee in the first quarter valued at about $427,000. Finally, Bank of America Corp DE lifted its holdings in shares of Chagee by 5,266.8% in the first quarter. Bank of America Corp DE now owns 50,502 shares of the company’s stock valued at $470,000 after purchasing an additional 49,561 shares in the last quarter.

About Chagee

Chagee Holding Limited operates the CHAGEE beverage brand, which specializes in freshly prepared tea drinks inspired by traditional Chinese tea culture. Its menu includes tea-based milk beverages, fruit tea and other drinks made with tea leaves, milk and related ingredients. The company positions CHAGEE as a premium, modern tea brand serving customers through branded retail locations.

Founded in 2017, Chagee has expanded its store network primarily through mainland China, while also serving customers in Southeast Asia.