According to Zhitong Finance APP, recently Tianfeng initiated coverage on Cha Bai Dao (02555), and the firm assigned a "Buy" rating to Cha Bai Dao.

The report indicates that in terms of product strength, Cha Bai Dao's product matrix combines classic products with seasonal limited products, leading the market with high cost performance; regarding the business model, the company's main Business source comes from franchising to achieve a more stable income stream, and due to strict selection, only about 7% of candidates can become franchisees; in terms of the supply chain, Cha Bai Dao continuously invests in supply chain construction, and the firm expects that as supply chain efficiency improves and transportation costs are optimized, material costs will be effectively controlled, and Cha Bai Dao's future gross margin will gradually rise.

In addition, Cha Bai Dao actively focuses on seeking new revenue increments through overseas expansion, constructing a second growth curve, as Southeast Asia possesses strong Consumer demand and an unsaturated market environment, which is the company's key overseas direction. Currently, Cha Bai Dao's overseas market expansion achievements have begun to show, having opened stores in South Korea, Thailand, Australia, and Malaysia, with plans to lay out a supply chain system for the Southeast Asian market and establish distribution centers to further support market expansion.