Pop Mart, a popular Chinese toymaker, has seen its stock plunge by nearly 9% in Hong Kong. The decline has wiped out more than ₱757 billion from the company's value after a major bank downgraded its rating. Many are wondering whether the Labubu craze that once made the brand famous is fading.
Despite this, the company's revenue is still strong. In the first half of 2025, the “Monsters” series with Labubu earned more than ₱39 billion, an increase of more than 600% compared to last year. POP MART's total revenue more than doubled, proving that fan demand remains strong.
Another reason for the decline is the decline in prices on the secondary market. POP MART deliberately increased production to lower prices and make it more accessible to true fans, not just scalpers. But because of this, the confidence of some investors who depend on high resale value has weakened.
Despite the volatility, the company's long-term vision remains intact. They are set to launch a Labubu animated series and expand into the global market. Despite the decline, POP MART's stock is still up more than 180% this year, remaining a top performer in the market.
