Shares of Pop Mart International dropped sharply in late March 2026, as stock buybacks and a revenue growth target failed to reassure investors amid mounting concerns over product concentration and slower growth prospects.
Pop Mart shares declined 27% during the fourth week of March, despite substantial repurchases and the company’s bold forecast of nearly tripling revenue to RMB 37.12 billion for 2025.
The stock fell 3.5% on Monday before rebounding 7.4% on Tuesday when regulatory filings revealed a buyback of 1.4 million shares valued at HKD 251 million. Yet, this rally was short-lived as the stock price tumbled 22.5% on Wednesday and another 10.4% on Thursday, even as the company executed a further buyback of 3.94 million shares for HKD 599.7 million. As of March 27, 2026, Pop Mart traded at HKD 151 per share, reaching its lowest level since April 2025.
Investor concerns remain elevated due to the company’s reliance on the Monsters series, particularly the Labubu line, which contributed about 38% of Pop Mart’s total revenue. Weaker premiums for Labubu toys in secondary markets and a slowing growth rate in the final quarter of 2025 have sparked fears that peak demand from crazed fans may have passed.
Pop Mart has set a minimum revenue growth target of 20% for 2026, a significant slowdown compared to its surge in 2025. While net profit for 2025 rose more than threefold, the company lowered its dividend payout ratio to 25% from 35% the previous year. Analysts note that the impact of share buybacks is being offset for institutional investors by declining cash yields.
