HONG KONG, Sept 8, 2025 — Pop Mart International Group Ltd saw its share price tumble by 6.65%, dropping to HK$289 during intraday trading, following a period of rapid rally and growing investor concern over weakening demand dynamics and post-index inclusion selling pressure. Earlier in the session, shares slumped as low as HK$282.20 before partially recovering.
The sharp pullback was triggered in part by Pop Mart’s recent inclusion in the Hang Seng Index and Hang Seng China Enterprises Index, which prompted some investors to lock in gains ahead of broader, index-linked buying activity.
Analysts raised alarms over softening secondary-market demand for its popular Labubu series, especially the newly launched mini Labubu collectible. Jeff Zhang of Morningstar highlighted a notable decline in resale prices due to aggressive restocking and cooling enthusiasm, adding that quality concerns surrounding recent product releases warrant urgent attention.
This turbulence comes after a meteoric rally—Pop Mart’s share price surged nearly 600% over the past year, powered by Gen Z’s insatiable appetite for designer blind-box collectibles. Yet, the rapid restocking has triggered a sharp drop in second-hand values, with some Labubu figures now commanding roughly half of their former resale prices, signalling a shift in market sentiment.
Not all market watchers share a bearish outlook, however. Morgan Stanley views the dip as a strategic entry point, citing Pop Mart’s powerful IP engine, direct-to-consumer model, and a decreased risk of inflated resale pricing—factors that could support renewed balance and stability.
Overall, today’s pullback reflects an investor recalibration—reassessing Pop Mart’s astounding growth story against growing concerns around product saturation and quality perception.
