Asia Plus Securities says Pop Mart's first-half 2026 results came in below market expectations. The Chinese collectible toy maker reported total revenue of 17.17 billion yuan, up 23.8 percent from a year earlier, while normalized profit rose 9.5 percent to 5.16 billion yuan, reflecting a significant slowdown in growth. A key drag came from its main intellectual property Labubu, also known as The Monsters, whose revenue fell 7.5 percent year on year to 4.45 billion yuan, marking its first contraction in several years. Asia Plus Securities views these results as a warning sign that Pop Mart's growth is normalizing after years of support from Labubu. Although the company still has a strong IP portfolio and can create popular new characters such as Twinkle and CRYBABY, the market still wants to see new IP that can generate revenue close to Labubu's level to offset the slowdown in its main growth engine. Strategically, Asia Plus Securities believes investors should be cautious about Pop Mart in the short term until there are signs of a reacceleration in growth. Pop Mart shares listed in Hong Kong under the ticker 9992 HK currently trade at 153.70 Hong Kong dollars, with a one-year Bloomberg consensus target price of 162.44 Hong Kong dollars. POPMART80 currently trades at 6.40 baht with a target price of 6.80 baht, based on an exchange rate of 4.18 baht per Hong Kong dollar and a conversion ratio of one underlying share per 100 depositary receipts. From a technical perspective, Asia Plus Securities sees support for POPMART80 at 5.70 to 6.10 baht and resistance at 7.10 to 7.65 baht.
Pop Mart International Group LtdFirst-half 2026 results missed expectations with significant growth slowdown, especially Labubu revenue decline.
