Fresh Strong Sell Stocks for December 2nd
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 02 2025
0mins
Source: NASDAQ.COM
Stocks Added to Zacks Rank #5: Three stocks have been added to the Zacks Rank #5 (Strong Sell) List, including Chagee Holdings Limited, Climb Global Solutions, and Gladstone Capital Corporation, all of which have seen downward revisions in their earnings estimates over the past 60 days.
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Analyst Views on CHA
Wall Street analysts forecast CHA stock price to rise
1 Analyst Rating
0 Buy
0 Hold
1 Sell
Moderate Sell
Current: 12.160
Low
14.20
Averages
14.20
High
14.20
Current: 12.160
Low
14.20
Averages
14.20
High
14.20
About CHA
Chagee Holdings Ltd is a holding company principally engaged in serving healthy and delicious freshly-made tea drinks. The Company’s main products include signature tea latte, teapuccino, iced oriental tea, teaspresso, and other creative tea drinks. The Company sells its products through CHAGEE brand. The Company is committed to providing universally appealing core menu, modernity powered by technology and effectively managed teahouse network. The Company mainly operates its businesses in the domestic and overseas markets.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Chagee (CHA) Q1 2026 Earnings Call Transcript
See More
Chagee Holdings Q1 2026 Earnings Highlights
- Revenue Growth: Chagee Holdings reported a 4.5% year-over-year increase in total revenue for Q1 2026, reaching RMB 3,546 million, indicating stable performance and ongoing growth potential in the market.
- Overseas Market Performance: The overseas GMV grew by 139% year-over-year, becoming a new growth engine for the company, which highlights the success of its international expansion strategy and enhances its competitiveness in the global market.
- New Product Launches: The company launched 12 new products in Q1, driving growth in both cup volume and GMV, further solidifying its position in the consumer market and enhancing brand influence.
- Share Repurchase Program: Chagee announced a $150 million share repurchase program, reflecting management's confidence in the company's long-term growth prospects while optimizing capital allocation to enhance shareholder returns.
See More
Chagee Holdings Q1 2026 Earnings Call Highlights
- Share Buyback Initiated: Chagee Holdings' board has approved a share repurchase program of up to $150 million, aimed at enhancing shareholder confidence and rewarding investors, indicating the company's strong belief in its future growth.
- Significant Revenue Growth: Total revenue for Q1 2026 reached RMB 3,546 million, representing a 4.5% year-over-year increase and a 19.2% quarter-over-quarter increase, showcasing the company's robust performance and sustained growth potential in the market.
- Improved Gross Margin: The gross margin for Q1 stood at 55.6%, an improvement from 53.1% a year ago, reflecting the company's success in cost control and operational efficiency, thereby enhancing profitability.
- Same-Store Sales Challenges: Despite an overall GMV increase of 8.1%, same-store GMV growth declined by 16%, with management emphasizing the need to focus on customer experience and brand standards to address competitive pressures in the market.
See More
Chagee Holdings Q1 2026 Earnings Beat Expectations
- Earnings Surprise: Chagee Holdings reported a Q1 2026 non-GAAP EPS of $0.38, beating expectations by $0.10, indicating a sustained improvement in profitability that is likely to positively impact stock performance.
- Revenue Growth: The company achieved revenue of $514.06 million in Q1, reflecting a 4.72% year-over-year increase and surpassing market expectations by $39.25 million, demonstrating strong growth momentum in a competitive market.
- Network Expansion: As of March 31, 2026, Chagee's teahouse network reached 7,531 locations in Greater China and overseas, representing a 12.7% increase from the same period in 2025, which will enhance market penetration and brand influence.
- Active Member Growth: The number of active members reached 50 million in Q1, an 11.7% increase from Q4 2025, indicating a steady expansion of the user base that may lay the groundwork for future revenue growth.
See More
Chagee Holdings Reports Q1 2026 Financial Results with Mixed Performance
- Store Network Expansion: As of March 31, 2026, Chagee's teahouse count reached 7,531 across Greater China and overseas, marking a 12.7% year-over-year increase, indicating the company's ongoing efforts in market expansion that could enhance brand influence and market share.
- GMV Growth: The total GMV for Q1 2026 was RMB 7.918 billion, with overseas GMV at RMB 426.4 million, reflecting a remarkable 139.0% year-over-year growth, showcasing the company's strong potential for international market growth, which may lay the groundwork for future revenue increases.
- Revenue and Profit Fluctuations: The net revenue for Q1 was RMB 3.546 billion, a 4.5% increase from the same period in 2025, yet operating income fell to RMB 547.2 million, highlighting challenges in cost control and market competition, necessitating further operational strategy optimization to enhance profitability.
- Share Repurchase Program: Chagee's board approved a share repurchase program of up to $150 million, set to commence on June 1, 2026, aimed at boosting shareholder confidence and potentially elevating stock prices, reflecting the company's optimism about future growth prospects.
See More
Chagee Holdings Reports Q1 2026 Financial Results with Mixed Performance
- Store Network Expansion: As of March 31, 2026, Chagee's teahouse count reached 7,531 across Greater China and overseas, marking a 12.7% year-over-year increase, indicating the company's ongoing efforts in market expansion that could enhance brand influence and market share.
- GMV Growth: The total GMV for Q1 2026 was RMB 7.918 billion, with overseas GMV at RMB 426.4 million, reflecting a remarkable 139.0% year-over-year growth, showcasing Chagee's strong potential in international markets that may lay the groundwork for future revenue increases.
- Revenue and Profit Fluctuations: The net revenue for Q1 was RMB 3.546 billion, a 4.5% increase year-over-year, but operating income fell to RMB 547.2 million, highlighting the economic pressures and intensified industry competition the company faces, necessitating measures to improve profitability.
- Share Repurchase Program: On May 28, 2026, Chagee's board approved a share repurchase program of up to $150 million, set to commence on June 1, 2026, aimed at boosting shareholder confidence and enhancing earnings per share, reflecting the company's optimism about future growth.
See More
Chagee (CHA) Q1 2026 Earnings Call Transcript
See More
Chagee Holdings Q1 2026 Earnings Highlights
- Revenue Growth: Chagee Holdings reported a 4.5% year-over-year increase in total revenue for Q1 2026, reaching RMB 3,546 million, indicating stable performance and ongoing growth potential in the market.
- Overseas Market Performance: The overseas GMV grew by 139% year-over-year, becoming a new growth engine for the company, which highlights the success of its international expansion strategy and enhances its competitiveness in the global market.
- New Product Launches: The company launched 12 new products in Q1, driving growth in both cup volume and GMV, further solidifying its position in the consumer market and enhancing brand influence.
- Share Repurchase Program: Chagee announced a $150 million share repurchase program, reflecting management's confidence in the company's long-term growth prospects while optimizing capital allocation to enhance shareholder returns.
See More
Chagee Holdings Q1 2026 Earnings Call Highlights
- Share Buyback Initiated: Chagee Holdings' board has approved a share repurchase program of up to $150 million, aimed at enhancing shareholder confidence and rewarding investors, indicating the company's strong belief in its future growth.
- Significant Revenue Growth: Total revenue for Q1 2026 reached RMB 3,546 million, representing a 4.5% year-over-year increase and a 19.2% quarter-over-quarter increase, showcasing the company's robust performance and sustained growth potential in the market.
- Improved Gross Margin: The gross margin for Q1 stood at 55.6%, an improvement from 53.1% a year ago, reflecting the company's success in cost control and operational efficiency, thereby enhancing profitability.
- Same-Store Sales Challenges: Despite an overall GMV increase of 8.1%, same-store GMV growth declined by 16%, with management emphasizing the need to focus on customer experience and brand standards to address competitive pressures in the market.
See More
Chagee Holdings Q1 2026 Earnings Beat Expectations
- Earnings Surprise: Chagee Holdings reported a Q1 2026 non-GAAP EPS of $0.38, beating expectations by $0.10, indicating a sustained improvement in profitability that is likely to positively impact stock performance.
- Revenue Growth: The company achieved revenue of $514.06 million in Q1, reflecting a 4.72% year-over-year increase and surpassing market expectations by $39.25 million, demonstrating strong growth momentum in a competitive market.
- Network Expansion: As of March 31, 2026, Chagee's teahouse network reached 7,531 locations in Greater China and overseas, representing a 12.7% increase from the same period in 2025, which will enhance market penetration and brand influence.
- Active Member Growth: The number of active members reached 50 million in Q1, an 11.7% increase from Q4 2025, indicating a steady expansion of the user base that may lay the groundwork for future revenue growth.
See More
Chagee Holdings Reports Q1 2026 Financial Results with Mixed Performance
- Store Network Expansion: As of March 31, 2026, Chagee's teahouse count reached 7,531 across Greater China and overseas, marking a 12.7% year-over-year increase, indicating the company's ongoing efforts in market expansion that could enhance brand influence and market share.
- GMV Growth: The total GMV for Q1 2026 was RMB 7.918 billion, with overseas GMV at RMB 426.4 million, reflecting a remarkable 139.0% year-over-year growth, showcasing the company's strong potential for international market growth, which may lay the groundwork for future revenue increases.
- Revenue and Profit Fluctuations: The net revenue for Q1 was RMB 3.546 billion, a 4.5% increase from the same period in 2025, yet operating income fell to RMB 547.2 million, highlighting challenges in cost control and market competition, necessitating further operational strategy optimization to enhance profitability.
- Share Repurchase Program: Chagee's board approved a share repurchase program of up to $150 million, set to commence on June 1, 2026, aimed at boosting shareholder confidence and potentially elevating stock prices, reflecting the company's optimism about future growth prospects.
See More
Chagee Holdings Reports Q1 2026 Financial Results with Mixed Performance
- Store Network Expansion: As of March 31, 2026, Chagee's teahouse count reached 7,531 across Greater China and overseas, marking a 12.7% year-over-year increase, indicating the company's ongoing efforts in market expansion that could enhance brand influence and market share.
- GMV Growth: The total GMV for Q1 2026 was RMB 7.918 billion, with overseas GMV at RMB 426.4 million, reflecting a remarkable 139.0% year-over-year growth, showcasing Chagee's strong potential in international markets that may lay the groundwork for future revenue increases.
- Revenue and Profit Fluctuations: The net revenue for Q1 was RMB 3.546 billion, a 4.5% increase year-over-year, but operating income fell to RMB 547.2 million, highlighting the economic pressures and intensified industry competition the company faces, necessitating measures to improve profitability.
- Share Repurchase Program: On May 28, 2026, Chagee's board approved a share repurchase program of up to $150 million, set to commence on June 1, 2026, aimed at boosting shareholder confidence and enhancing earnings per share, reflecting the company's optimism about future growth.
See More
