WallStSmart

Chagee Holdings Limited American Depositary Shares (CHA)vsStarbucks Corporation (SBUX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Starbucks Corporation generates 195% more annual revenue ($38.47B vs $13.06B). CHA leads profitability with a 7.2% profit margin vs 3.9%. CHA trades at a lower P/E of 16.4x. SBUX earns a higher WallStSmart Score of 51/100 (C-).

CHA

Hold

46

out of 100

Grade: D+

Growth: 5.3Profit: 6.5Value: 6.0Quality: 9.0
Piotroski: 4/9Altman Z: 3.79

SBUX

Buy

51

out of 100

Grade: C-

Growth: 6.7Profit: 5.0Value: 5.3Quality: 5.0
Piotroski: 2/9Altman Z: 1.07
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for CHA.

SBUXUndervalued (+22.2%)

Margin of Safety

+22.2%

Fair Value

$127.45

Current Price

$95.29

$32.16 discount

UndervaluedFair: $127.45Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CHA4 strengths · Avg: 8.8/10
Altman Z-ScoreHealth
3.7910/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.179/10

Conservative balance sheet, low leverage

P/E RatioValuation
16.4x8/10

Attractively priced relative to earnings

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

SBUX3 strengths · Avg: 9.0/10
Debt/EquityHealth
-2.8810/10

Conservative balance sheet, low leverage

Market CapQuality
$108.85B9/10

Large-cap with strong market position

EPS GrowthGrowth
32.6%8/10

Earnings expanding 32.6% YoY

Areas to Watch

CHA4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
4.5%4/10

4.5% revenue growth

Profit MarginProfitability
7.2%3/10

7.2% margin — thin

EPS GrowthGrowth
-40.3%2/10

Earnings declined 40.3%

Free Cash FlowQuality
$02/10

Negative free cash flow — burning cash

SBUX4 concerns · Avg: 2.8/10
Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Profit MarginProfitability
3.9%3/10

3.9% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
72.9x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : CHA

The strongest argument for CHA centers on Altman Z-Score, Debt/Equity, P/E Ratio.

Bull Case : SBUX

The strongest argument for SBUX centers on Debt/Equity, Market Cap, EPS Growth. PEG of 1.28 suggests the stock is reasonably priced for its growth.

Bear Case : CHA

The primary concerns for CHA are Revenue Growth, Profit Margin, EPS Growth.

Bear Case : SBUX

The primary concerns for SBUX are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 72.9x leaves little room for execution misses. Thin 3.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

SBUX is growing revenue faster at 8.8% — sustainability is the question.

Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SBUX scores higher overall (51/100 vs 46/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Chagee Holdings Limited American Depositary Shares

CONSUMER CYCLICAL · RESTAURANTS · USA

Chagee Holdings Ltd. is a Shanghai-based company founded in 2017 by Jun Jie Zhang. It specializes in selling freshly made tea drinks—such as tea lattes, teapuccinos, iced teas, and other creative beverages—along with related products like raw materials, packaging, and teahouse equipment.

Starbucks Corporation

CONSUMER CYCLICAL · RESTAURANTS · USA

Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As the world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States' second wave of coffee culture.

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