Aug. 25 at 1:24 AM
$CHA
Chagee Holdings (CHA) is the latest addition to our Cross-Market FUD Index.
Down ~55% from its 52-week high of
$23.90, the tea drinks brand has been hit by a Q1 2026 earnings miss, litigation overhang, and same-store sales concerns. But the underlying numbers tell a different story: Q1 operating income of RMB 547.2M, a 55.6% gross margin, and ROE near 39%.
Book value of ~
$6.60/share and net cash of ~
$6/share sit close beneath the current price near
$10.84 — a hard floor that the market's fear narrative hasn't priced in. A
$150M buyback remains authorized through May 2027.
The FUD Index exists to surface names where temporary sentiment, not permanent impairment, has done the damage. Q2 earnings land ~Aug 27–28 — the next real test of the thesis.
This is not a recommendation to buy, hold, or sell. Further fundamental work is always required before any investment decision.
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