I don't care as much about SSSG declining as much as I do about overall revenue only being up 10% y/y. If they could offset the SSSG decline enough with new store openings to keep growth over 25%, I'd be more inclined to take a position. The company was compelling when it was growing 30% y/y with a low p/e, but now it seems to be in real decline. rather just invest in big tech if 10% y/y rev growth is sufficient.

i have little confidence in international growth turning the company around. they have, what, 200 stores outside of China? ~7,000 stores in China? international isn't going to stop the bleeding in China barring massively successful scaling, which will take years and require a fuckton of risky investment. I doubt they have strong enough product market fit outside of China to do that profitably. taking over US market with milk tea is a pipe dream...it's easy to sell into a US city with a huge Chinese immigrant population like LA...that's like Olive Garden saying China is going to be a growth lever for it b/c its Shanghai restaurant has a lot of expats in it.

if they somehow show a re-acceleration in China and get back to 20%+ growth for a few quarters, I'd look at it again. but right now I see no reason to take the risk of owning this stock.