Pop Mart 9992

[winston]

vested

<Research> BofAS Reiterates Pop Mart (09992.HK) Neutral, Sees Market Sentiment Stabilizing

BofAS issued a research report stating that Pop Mart (09992.HK) has experienced recent share price volatility, but market sentiment has stabilized.

The improvement is supported by capital inflows, a shift in risk appetite toward new consumption themes, positive sentiment triggered by activities of influential investors, resilient sales trends in the domestic market and the company's share buybacks.

However, investors remain concerned about two major risks:
1. limited visibility in overseas markets (particularly as growth momentum in the US and European markets weakened in 4Q last year) and
2. margin pressure arising from slowing overseas growth as well as rising raw material and freight costs.

The broker noted that the group will release its 1Q26 operational update in mid-May.

Revenue for the period is expected to grow by approximately 80% YoY, compared with market expectations of 50% to 100%.

The key variance lies in performance in overseas markets, especially the US and the European Union, while the mainland China market is expected to remain resilient.

It reiterated a Neutral rating with a TP of HKD170, implying a forecast 2026 PE of approximately 13x.

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN