CHA (Chagee Holdings) Cash Conversion Cycle: -12.00 (As of Mar. 2026)


CHA Chagee Holdings Ltd CHA
22 GF Score
Price $12.14
! 2 Warning Signs
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What is Chagee Holdings Cash Conversion Cycle?

Chagee Holdings CHA +6.49% 22 Cash Conversion Cycle is -12.00 as of Mar. 2026. GuruFocus rates CHA with a GF Score™ of 22/100. The stock has 2 warning signs investors should review.

Cash Conversion Cycle is one of several measures of management effectiveness. It equals Days Sales Outstanding + Days Inventory - Days Payable.

Chagee Holdings's Days Sales Outstanding for the three months ended in Mar. 2026 was 3.28.
Chagee Holdings's Days Inventory for the three months ended in Mar. 2026 was 10.62.
Chagee Holdings's Days Payable for the three months ended in Mar. 2026 was 25.9.
Therefore, Chagee Holdings's Cash Conversion Cycle (CCC) for the three months ended in Mar. 2026 was -12.00.

Chagee Holdings  (NAS:CHA) Cash Conversion Cycle Explanation

Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.

Be Aware

CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.

The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.

Chagee Holdings Cash Conversion Cycle Related Terms

Chagee Holdings Cash Conversion Cycle Historical Data

* Premium members only.

The historical data trend for Chagee Holdings's Cash Conversion Cycle can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Chagee Holdings Cash Conversion Cycle Chart

Chagee Holdings Annual Data
Trend Dec22 Dec23 Dec24 Dec25
Cash Conversion Cycle
-17.63 -25.59 -20.69 -18.50

Chagee Holdings Quarterly Data
Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Cash Conversion Cycle Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -18.89 -16.52 -15.16 -15.22 -12.00

CHA vs MCD, SBUX, CMG: Cash Conversion Cycle Comparison

For the Restaurants subindustry, Chagee Holdings's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Chagee Holdings Cash Conversion Cycle vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Chagee Holdings's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Chagee Holdings's Cash Conversion Cycle falls into.


CHA
22GF Score
Chagee Holdings Ltd CHA
Cash Conversion Cycle is just one metric. See GF Score™, valuation, warning signs, and more.
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Chagee Holdings Cash Conversion Cycle Calculation

Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.

Cash Conversion Cycle is one of several measures of management effectiveness.

Chagee Holdings's Cash Conversion Cycle for the fiscal year that ended in Dec. 2025 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=3.73+9.29-31.52
=-18.50

Chagee Holdings's Cash Conversion Cycle for the quarter that ended in Mar. 2026 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=3.28+10.62-25.9
=-12.00

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Cash Conversion Cycle →
What does a Cash Conversion Cycle of -12.00 mean?
Chagee Holdings (CHA) has a Cash Conversion Cycle of -12.00 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Chagee Holdings and its competitors.
Is Chagee Holdings' Cash Conversion Cycle too high?
Chagee Holdings' current Cash Conversion Cycle is -12.00. Overall, Chagee Holdings has a GF Score™ of 22/100, reflecting its overall financial health beyond just this single metric.
How does Chagee Holdings' Cash Conversion Cycle compare to MCD and SBUX?
Chagee Holdings' Cash Conversion Cycle of -12.00 can be compared against companies in the Restaurants industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for a Restaurants company?
A good Cash Conversion Cycle depends on the Restaurants industry context. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Chagee Holdings and its competitors. Chagee Holdings's current Cash Conversion Cycle is -12.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Chagee Holdings stock overvalued right now?
Chagee Holdings (CHA) has a current Cash Conversion Cycle of -12.00. The current Cash Conversion Cycle is -12.00. Chagee Holdings' overall GF Score™ is 22/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Chagee Holdings (CHA), the current Cash Conversion Cycle is -12.00 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Chagee Holdings Business Description

Address No. 99 Kaihong Road, Tower B, Hongqiao Lianhe Building, Changning District, Shanghai, CHN, 200051
Chagee Holdings Ltd is a premium tea drinks brand. It is engaged in the sales of freshly-made tea drinks, related raw materials, packaging, teahouse equipment, and other supplies in the People's Republic of China.
22GF Score

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Cash Conversion Cycle is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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