Mixue Group Navigates Strategic Alliances and Market Dynamics
Mixue Group, listed on the Hong Kong Stock Exchange with a market capitalization of 155 billion HKD, has recently attracted attention from both investors and industry analysts. The company’s share price closed at HK 409.6 on 16 December 2025, amid a year‑long range between HK 202.5 and HK 618.5. With a price‑earnings ratio of 27.64, Mixue’s valuation reflects expectations of continued growth, albeit tempered by a forecast that same‑store sales may decline next year.
1. Cainiao Partnership and Supply‑Chain Innovation
On 16 December, two reports from aastocks.com and the Securities Times disclosed that Cainiao, Alibaba’s logistics arm, has entered into a collaboration with Mixue. The partnership centers on the deployment of artificial intelligence and advanced supply‑chain technology, aiming to introduce the largest digital supply‑chain management system in China to Mixue’s operations. By integrating Cainiao’s logistics platform, Mixue intends to streamline inventory management, reduce delivery times, and enhance operational efficiency across its growing network of stores.
The alliance is expected to support Mixue’s rapid expansion strategy. Analysts point to the potential for cost savings and improved customer experience, both of which could offset the anticipated dip in same‑store sales noted by G Sachs in a buy‑rating note issued on 18 December. G Sachs highlighted that, while the company’s growth trajectory remains robust, a temporary slowdown in core sales metrics is likely in the upcoming fiscal year.
2. International Footprint and Competitive Landscape
The company’s presence extends beyond China, as evidenced by coverage on 17 December in The Business Times and e.vnexpress.net. These outlets reported that Mixue, alongside rivals such as Chagee and Luckin Coffee, continues to expand in Singapore’s fiercely competitive food‑and‑beverage sector. Despite a wave of closures among local cafés and eateries, Mixue’s strategy of rapid store roll‑out and brand differentiation has positioned it as a resilient player in the market.
Singapore’s scene, described as a “cut‑throat business,” underscores the challenges of sustaining growth in saturated markets. Nevertheless, Mixue’s ability to maintain momentum in such environments demonstrates operational agility and a strong brand proposition.
3. Market Context and Investor Sentiment
The broader macro‑environment reveals a trend of Chinese consumer brands pushing into overseas markets, notably the United States, to counterbalance sluggish domestic demand. Although Mixue’s primary focus remains on the Chinese market, the company’s partnership with Cainiao and its digital transformation efforts align with this global shift toward tech‑enabled retail models.
Investor sentiment, as reflected in the G Sachs recommendation, remains cautiously optimistic. The buy rating suggests that, despite short‑term pressure on same‑store sales, the long‑term benefits of Cainiao’s logistics integration and the company’s aggressive expansion plans justify a positive outlook. Analysts note that the firm’s sizeable market cap and consistent stock performance provide a buffer against potential volatility.
4. Outlook
With the Cainiao collaboration underway, Mixue Group is poised to harness AI and logistics technology to streamline operations and support further expansion. While analysts anticipate a temporary decline in same‑store sales, the long‑term benefits of improved supply‑chain efficiency, cost optimisation, and market penetration are expected to offset this shortfall. The company’s continued presence in competitive international markets such as Singapore, coupled with its robust capital position, positions Mixue for sustained growth amid a dynamic consumer landscape.
