Labubu Maker's Shares Rise Amid Optimism Over Outlook

By Tracy Qu and Megan Cheah

Shares of Pop Mart International rose amid investor optimism over the company's outlook.

The Labubu maker's shares jumped as much as 8.6% on Monday, before pulling back to close 5.8% higher at 257.20 Hong Kong dollars, equivalent to US$32.92. The benchmark Hang Seng Index posted a 1.8% gain for the day.

"We think Pop Mart will continue to diversify its [intellectual property] portfolio to moderate the reliance on Labubu and the Monsters," said Morningstar's Jeff Zhang. "The global expansion should persist as well, with North America, Europe and the Middle East being the key regions for new store opening," Zhang added.

Company founder Wang Ning said Friday at an annual staff event that Pop Mart's registered users surpassed 100 million globally as of the end of 2025.

Sales of Labubu exceeded 100 million units last year, while total sales topped 400 million units, Wang said at the event.

Citi analysts said in a recent research note that Pop Mart remains the bank's top buy in China's consumer sector. "We expect its breakthroughs in IP diversification, product innovation, and monetization in a wide range of fields to sustain growth in 2026," the analysts said.

The hype surrounding Labubu has cooled in recent months, and the company is now racing to find its next big hit to recreate that same viral spark. The "ugly-cute" doll is easy to get at Pop Mart stores now, compared with the dolls going for double their retail price on secondary markets at the height of their popularity.

Pop Mart's stock took a hit in late 2025 after peaking in August. However, shares have rebounded in recent weeks, resulting in a year-to-date gain of 37%.

Write to Tracy Qu at tracy.qu@wsj.com and Megan Cheah at megan.cheah@wsj.com

(END) Dow Jones Newswires

February 09, 2026 04:34 ET (09:34 GMT)