Cheng De Lolo Co Ltd: Recent Financial Developments

Cheng De Lolo Co Ltd, a prominent player in the Chinese food products sector, has recently been in the spotlight due to several financial activities. The company, listed on the Shenzhen Stock Exchange, specializes in producing and marketing beverages such as almond juice, fruit juice, and fruit teas, operating exclusively within China.

Stock Market Activity

On June 4, 2025, the food and beverage sector experienced a short-term rally, with Cheng De Lolo Co Ltd, also known as 承德露露 (SZ000848), being part of this upward movement. The company, along with others like 香飘飘, 品渥食品, 惠泉啤酒, and 皇氏集团, saw significant gains, with 香飘飘 reaching a halt-up in trading.

Recent Financing and Share Buyback

In a notable financial development, Cheng De Lolo Co Ltd received a substantial financing buy-in on June 3, 2025, amounting to 15,206,010,000 CNY. This transaction accounted for 14.97% of the day’s total buy-in amount. The company’s current financing balance stands at 16,600,000,000 CNY, representing 1.51% of its circulating market value, which is below the historical 10% percentile level.

Additionally, on May 30, 2025, the company secured a financing buy-in of 6,055,300,000 CNY, making up 8.76% of the day’s buy-in amount. The financing balance at that time was 16,000,000,000 CNY, or 1.45% of the circulating market value, also below the historical 10% percentile.

The company has also announced progress regarding its share buyback program, indicating a strategic move to enhance shareholder value.

Market Outlook

According to a report by 中信建投, the food and beverage sector is expected to benefit from a consumption-driven recovery, with a focus on health products. The report highlights four key areas: white spirits, low-alcohol beverages, restaurant chains, and snacks. The latter two categories, particularly relevant to Cheng De Lolo Co Ltd, are expected to see continued growth due to new products and channels, as well as increased consumer interest in health-oriented beverages.

Company Overview

Cheng De Lolo Co Ltd has a market capitalization of 11,180,000,000 CNY, with a price-to-earnings ratio of 17.17. The company’s stock closed at 10.58 CNY on May 29, 2025, with a 52-week high of 11.31 CNY and a low of 6.73 CNY. These financial metrics and recent market activities suggest a positive outlook for the company as it navigates the evolving consumer landscape in China.