Chagee (NASDAQ:CHA) Stock Price Down 5.1% - Should You Sell?

Key Points

• Chagee shares fell 5.1% midday to $10.04 after trading as low as $10.08, with about 305,067 shares changing hands—roughly 50% below its average daily volume.
• Analyst consensus is "Hold" (4 Buy, 4 Hold, 1 Sell) with an average price target of $29.67, though recent notes show more modest targets (Jefferies $14, JPMorgan $11.50) and mixed rating changes.
• Significant institutional buying—including Fosun increasing its stake to ~7.45M shares and new/expanded positions from Schroder, UBS, Marshall Wace and Jane Street—occurs while the company has a $1.86B market cap and a trailing PE of 11.52.

Chagee Holdings Limited - Sponsored ADR (NASDAQ:CHA - Get Free Report)'s share price dropped 5.1% during mid-day trading on Monday . The company traded as low as $10.08 and last traded at $10.04. Approximately 305,067 shares changed hands during mid-day trading, a decline of 50% from the average daily volume of 606,445 shares. The stock had previously closed at $10.58.

Wall Street Analyst Weigh In

Several equities research analysts have recently commented on the company. Jefferies Financial Group initiated coverage on Chagee in a research note on Wednesday, January 7th. They set a "hold" rating and a $14.00 price target on the stock. Zacks Research raised Chagee from a "strong sell" rating to a "hold" rating in a report on Friday, January 30th. JPMorgan Chase & Co. upgraded Chagee from an "underweight" rating to a "neutral" rating and decreased their target price for the stock from $12.40 to $11.50 in a research report on Friday, February 13th. Wall Street Zen raised Chagee from a "sell" rating to a "hold" rating in a report on Sunday, December 14th. Finally, Weiss Ratings restated a "sell (d)" rating on shares of Chagee in a research report on Monday, December 29th. Four analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, Chagee currently has an average rating of "Hold" and an average price target of $29.67.

Chagee Stock Performance

The business has a 50-day moving average of $11.18 and a 200 day moving average of $13.73. The stock has a market cap of $1.86 billion and a PE ratio of 11.52.

Hedge Funds Weigh In On Chagee

Several institutional investors and hedge funds have recently modified their holdings of CHA. Fosun International Ltd grew its stake in Chagee by 19,295.0% in the 4th 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 period. Schroder Investment Management Group purchased a new position in shares of Chagee during the 3rd quarter worth $46,150,000. UBS Group AG boosted its holdings in shares of Chagee by 212.5% during the third quarter. UBS Group AG now owns 984,755 shares of the company's stock worth $16,298,000 after purchasing an additional 669,583 shares during the last quarter. Marshall Wace LLP purchased a new stake in shares of Chagee in the second quarter valued at $13,764,000. Finally, Jane Street Group LLC grew its position in shares of Chagee by 2,237.0% in the fourth quarter. Jane Street Group LLC now owns 439,640 shares of the company's stock valued at $5,113,000 after purchasing an additional 420,828 shares during the period.

Chagee Company Profile

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.

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