Chagee (NASDAQ:CHA) Hits New 1-Year Low After Analyst Downgrade

Chagee Holdings Limited – Sponsored ADR (NASDAQ:CHA)’s stock price hit a new 52-week low during trading on Wednesday after Zacks Research downgraded the stock from a hold rating to a strong sell rating. The stock traded as low as $8.98 and last traded at $9.3210, with a volume of 2238015 shares traded. The stock had previously closed at $9.61.

Other equities research analysts also recently issued reports about the company. JPMorgan Chase & Co. raised Chagee from an “underweight” rating to a “neutral” rating and decreased their price target for the stock from $12.40 to $11.50 in a report on Friday, February 13th. Weiss Ratings restated a “sell (d)” rating on shares of Chagee in a research report on Friday, March 27th. Jefferies Financial Group started coverage on shares of Chagee in a research note on Wednesday, January 7th. They issued a “hold” rating and a $14.00 target price for the company. Finally, Wall Street Zen upgraded shares of Chagee from a “sell” rating to a “hold” rating in a research note on Sunday, December 14th. Five analysts have rated the stock with a Buy rating, two have issued a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, Chagee currently has a consensus rating of “Hold” and an average target price of $30.31.

Chagee News Roundup

Here are the key news stories impacting Chagee this week:

• Positive Sentiment: JPMorgan upgraded CHA from “neutral” to “overweight” and raised its price target to $16 (from $11.50), citing a stronger bull case; that upgrade is the primary driver of today’s upward price move. Read More.
• Neutral Sentiment: Company commentary and press coverage highlight a strategic push into the U.S. market and plans to recalibrate after a tough 2025, which could support longer-term growth but won’t immediately erase recent weak results. Read More.
• Neutral Sentiment: Investors can read the full Q4 2025 earnings call transcript for management’s detail on store mix, pricing, and U.S. plans—useful for assessing execution risk versus JPMorgan’s bullish view. Read More.
• Negative Sentiment: Zacks Research downgraded CHA from “hold” to “strong sell,” adding immediate selling pressure and highlighting continued skepticism among some sell-side analysts. Read More.
• Negative Sentiment: Independent analysis (Seeking Alpha) notes a major Q4 2025 earnings miss—EPS fell ~87% YoY and missed consensus by a wide margin—and management’s FY26 guidance calls for essentially flat revenue and profit, underscoring short-term operational headwinds. Read More.

Hedge Funds Weigh In On Chagee

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in CHA. Fosun International Ltd increased 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 buying an additional 7,408,691 shares in the last quarter. Schroder Investment Management Group purchased a new position in Chagee during the third quarter worth about $46,150,000. UBS Group AG increased its stake in shares of Chagee by 212.5% during the 3rd quarter. UBS Group AG now owns 984,755 shares of the company’s stock valued at $16,298,000 after acquiring an additional 669,583 shares during the last quarter. Marshall Wace LLP purchased a new stake in Chagee in the second quarter valued at approximately $13,764,000. Finally, Jane Street Group LLC grew its stake in shares of Chagee by 2,237.0% during the 4th quarter. Jane Street Group LLC now owns 439,640 shares of the company’s stock valued at $5,113,000 after buying an additional 420,828 shares during the period.

Chagee Stock Performance

The business has a fifty day moving average price of $10.75 and a 200 day moving average price of $13.32. The firm has a market capitalization of $1.85 billion and a price-to-earnings ratio of 11.21.

About Chagee

Our Mission With every cup of our tea, we aspire to foster a global connection of people and cultures. Our Vision To modernize the tea-drinking experience through technology and innovation. Our Core Values “Customer First” is the foundational philosophy of how we make decisions and run our business. “Caring for Partners” is the core value that defines how we interact with consumers, franchise partners, suppliers, and employees. “Quality, Health, and Convenience” is the guiding principle of how we make our products.