MIXUE GROUP's stock price plummeted 10.98% during intraday trading on Wednesday, marking a significant decline for the tea beverage chain.
The sharp drop appears to be primarily driven by a rating downgrade from UBS. The investment bank downgraded MIXUE GROUP from "Buy" to "Neutral" and lowered its target price, citing risks of gross margin contraction. Analysts pointed to rising raw material costs—particularly for core ingredients like lemons—the tapering of food delivery subsidies, and intensifying industry competition as key concerns impacting the company's profitability outlook.
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