Argus Research Initiates Equity Research Report Coverage on TH International Limited (NasdaqCM: THCH).

Feb 26, 2024

, /PRNewswire/ — Argus Research, an independent investment research firm, has launched Equity Research Report coverage on TH International Limited (NasdaqCM: THCH).

Click Here to view full Argus Equity Research Report.

COMPANY HIGHLIGHTS: Excerpts (as conveyed by Argus Analyst Steve Silver) include:

TH International: Expanding China’s Fast Growing Coffee Market

  • White Space for Growth: THCH has been expanding in China’s Fast Growing Coffee Market since 2019. We see the market for coffee consumption in China as still in the early-stages of a generational category shift from a previously tea drinking culture.
  • Adding Locations: In our view, THCH is executing a strategic plan that aims to expand to over 2,700 locations in 2026, nearly tripling from its current footprint.
  • Investment Phase Largely Completed: THCH has completed much of its investment towards building an infrastructure, including a scalable supply chain and technology system that can support the target footprint.
  • Differentiated Product Offering: We think that Tims China is well positioned to fill the role of a differentiated player in the Chinese market; by providing value on price compared with entrenched market leaders, while still offering a locally adapted food menu. Thus, we expect Tims China to grow without needing to displace or take share from other entrenched players.
  • Expanding Margins: We are encouraged by several operating trends in Tims China’s business, including store EBITDA margin expansion to 7.5% in the third quarter of 2023, up from 5% in the previous quarter, and growth in its loyalty program base to over 18 million (up more than 90% over the same period of 2022), which accounts for about 80% of its transactions, the majority of which are conducted online.
  • Solid Financial Position: As of September 30, 2023, THCH had RMB 461.9 million ($64.9 million USD) in cash, and net debt of RMB 1.07 billion ($85 million USD). We expect continued improvement in corporate level EBITDA to improve its balance sheet over time.
  • Fair Value: Based on our EV/Revenue analysis, we see a fair value of $4.00 per share.

INVESTMENT THESIS: Click Here to view full Argus Equity Research Report and Investment Thesis.

About TH International Limited (NasdaqCM: THCH)                 

TH International Limited (“Tims China“, or “THCH”, or “the company”) is the parent company of the exclusive master franchisee of Tim Hortons coffee shops for Restaurant Brands International Inc. in mainland China, Hong Kong and Macau, as well as Popeyes restaurants in mainland China and Macau. THCH offers freshly brewed coffee, tea and other beverages, bakery and sides, as well as sandwiches. The company launched its first coffee shop in China in February 2019 and had grown to more than 900 stores by the end of 2023. The company utilizes an operating model that includes company-owned stores and franchise operated locations, of various location size formats.

For more information please contact:



About Argus Research Corp. 

Headquartered in NYC, Argus Research ( is a leading independent equity research firm (est. 1934)  ̶  providing fundamental and quantitative research coverage on more than 1,600 companies across all 11 sectors of the S&P 500, as well as macroeconomic and equity market forecasts, thematic research, model portfolios and IPO research.  In addition, Argus has recently committed to providing a sponsored research solution for small & mid-cap companies seeking coverage.  Argus’s Equity Research & earnings estimates are available on major research / earnings estimate aggregator platforms, including Bloomberg, Thomson Reuters, Factset and S&P Global.

For more Information please contact:

Darrell Stone


Argus Research Co. has received a flat fee from the company discussed in this report as part of a Sponsored Research agreement between Argus and the company. No part of Argus Research’s compensation is directly or indirectly related to the content of this assessment or to other opinions expressed in this report. Please refer to the full Argus report and the disclaimer for complete disclosures.

Cision View original content to download multimedia:

SOURCE Argus Research

Leave a comment