Chagee Holdings Limited – Sponsored ADR (NASDAQ:CHA) Stock Short Interest Climbs 95.1%

Chagee Holdings Limited – Sponsored ADR (NASDAQ:CHA) was the target of a large growth in short interest in September. As of September 15th, there was short interest totaling 1,865,003 shares, a growth of 95.1% from the August 31st total of 955,726 shares. Approximately 1.0% of the company’s shares are short sold. Based on an average trading volume of 1,491,608 shares, the short-interest ratio is presently 1.3 days.

Chagee Stock Performance

NASDAQ:CHA opened at $11.70 on Thursday. The firm has a 50-day simple moving average of $11.25 and a 200-day simple moving average of $11.00. Chagee has a one year low of $8.98 and a one year high of $17.66. The firm has a market cap of $2.15 billion, a P/E ratio of 11.58 and a beta of 1.60.

Chagee (NASDAQ:CHA) last released its quarterly earnings data 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 firm had revenue of $502.59 million for the quarter. Chagee had a net margin of 10.23% and a return on equity of 16.43%. On average, research analysts predict that Chagee will post 1.31 EPS for the current fiscal year.

Analyst Ratings Changes

Several research firms have recently weighed in on CHA. Wall Street Zen downgraded shares of Chagee from a “strong-buy” rating to a “buy” rating in a research note on Saturday, September 26th. The Goldman Sachs Group started coverage on Chagee in a research note on Sunday, June 21st. They issued a “neutral” rating and a $13.60 price objective on the stock. Finally, Weiss Ratings downgraded Chagee from a “sell (d+)” rating to a “sell (d)” rating in a report on Thursday, July 30th. Two investment analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $13.82.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Fosun International Ltd lifted its stake in shares of Chagee by 19,295.0% during the 4th quarter. Fosun International Ltd now owns 7,447,088 shares of the company’s stock worth $86,610,000 after purchasing an additional 7,408,691 shares during the last quarter. Renaissance Technologies LLC purchased a new stake in Chagee during the first quarter valued at approximately $2,511,000. Empowered Funds LLC purchased a new stake in Chagee during the first quarter valued at approximately $1,211,000. Virtu Financial LLC boosted its stake in Chagee by 355.9% in the fourth quarter. Virtu Financial LLC now owns 54,304 shares of the company’s stock valued at $632,000 after acquiring an additional 42,393 shares in the last quarter. Finally, Bank of America Corp DE boosted its stake in 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 acquiring 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.