Chanson International (CHSN) Plunges 63.64% Amid Public Offering

Chanson International (CHSN) experienced a significant decline, with its share price plummeting to its lowest level since March 2025, marking an intraday drop of 63.64%.

The strategy of buying CHSN shares after they reached a recent low and holding for 1 week yielded a 44.69% return, slightly underperforming the benchmark by 1.46% over the past five years. The CAGR was 18.37%, with a maximum drawdown of -98.56% and a Sharpe ratio of 0.09, indicating significant volatility and moderate returns.

Chanson International recently announced an $8 million public offering priced at $0.50 per unit, with warrant sweeteners. This offering is aimed at funding new store openings across the US and China markets, with an expected closure date of around June 16, 2025, pending the satisfaction of customary closing conditions. This move is part of the company's strategic plan to expand its retail presence and capture new market opportunities.

Additionally, there has been a notable decrease in short interest in Chanson International, dropping by 53.64%. This reduction suggests a shift in investor sentiment, with fewer investors betting against the company's stock. This change in short interest could indicate growing confidence in the company's future prospects, potentially driven by the recent public offering and expansion plans.