Chagee Holdings Limited - Sponsored ADR (CHA) vs Shake Shack, Inc. (SHAK)

Chagee Holdings Limited - Sponsored ADR and Shake Shack, Inc. are both Restaurants companies. Shake Shack, Inc. is the larger, with a market value of $2.5B against $1.4B — 1.7× the size. Chagee Holdings Limited - Sponsored ADR trades at the lower P/E: 11.3× against 56.5×. Chagee Holdings Limited - Sponsored ADR has the higher net margin (10.3% vs 2.56%) and the higher return on invested capital (221.5% vs 6.77%). Across the 18 metrics below, Chagee Holdings Limited - Sponsored ADR leads on 17 and Shake Shack, Inc. on 1.

Valuation

Metric CHA SHAK Restaurants median
P/E 11.30 56.53 22.14
P/S 1.13 1.44 0.91
P/B 1.76 3.92 2.01
Price to free cash flow 9.45 n/m 19.41
EV/EBITDA 4.53 12.70 11.48
EV/Sales 0.52 1.41 1.20
Earnings yield 8.85% 1.77% 2.30%
Free cash flow yield 10.58% (0.52%) 3.92%

Profitability

Metric CHA SHAK Restaurants median
Gross margin 54.19% 25.29% 38.77%
Operating margin 11.46% 3.57% 4.30%
Net margin 10.27% 2.56% 1.85%
Free cash flow margin 11.97% (0.75%) 3.12%
Return on equity 16.60% 7.28% 3.07%
Return on assets 11.86% 2.13% 1.50%
Return on invested capital 221.49% 6.77% 3.14%

Growth

Metric CHA SHAK Restaurants median
Revenue growth (TTM) — 17.33% 5.16%
EPS growth (last fiscal year) (74.30%) 354.17% —
Revenue growth, 5-year CAGR — 22.55% 10.57%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric CHA SHAK Restaurants median
Debt to equity 0.02 0.43 0.10
Current ratio 3.37 1.67 0.81
Net debt to EBITDA (5.35) (0.65) 0.43

Dividend

Metric CHA SHAK Restaurants median
Dividend yield — — 2.32%
Payout ratio — 0.00 0.00

Size

Metric CHA SHAK Restaurants median
Market cap 1.42b 2.46b 482.66m

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