Analyst

Steve Zhou, CFA

Equity Bottom-Up

Pop Mart International Group L / Equity Bottom-Up

<ul>
<li>
<a href="https://www.smartkarma.com/entities/pop-mart-international-group-l" target="_blank" data-smartkarma-citation="entities:29016:1" rel="noopener">Pop Mart International Group L (9992 HK)</a> presents an interesting story of a Chinese domestic brand going overseas, and potentially being successful overseas (at least in the short-term). </li>
<li>A recent case of a Chinese brand achieving success overseas is <a href="https://www.smartkarma.com/entities/miniso-group-holdings" target="_blank" data-smartkarma-citation="entities:29673:1" rel="noopener">Miniso (MNSO US)</a>, and shareholders of Miniso have been richly rewarded. </li>
<li>Pop Mart trades at a PE of 24x based on estimated 2024 earnings, with around 30% expected net profit growth in 2024E.   </li>
</ul>



Pop Mart International Group L (9992 HK) presents an interesting story of a Chinese domestic brand going overseas, and potentially being successful overseas (at least in the short-term). 
A recent case of a Chinese brand achieving success overseas is Miniso (MNSO US), and shareholders of Miniso have been richly rewarded. 
Pop Mart trades at a PE of 24x based on estimated 2024 earnings, with around 30% expected net profit growth in 2024E.   


Pop Mart (9992 HK):  Short-Term Trading Opportunity On International Expansion

HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

Equity Capital Markets

<ul>
<li>The key for high growth in 2023/24Q1 lies in its assembly character toys with renowned IPs,which may not be sustainable or even collapse if Bloks fails to renew license agreements.</li>
<li>The advantages of Bloks in development prospects, self-developed IPs, brand stickiness are not obvious. The latest valuation reached RMB7.2 billion, but the founder has already cashed out before IPO. </li>
<li>Hong Kong stock market has been “lukewarm” to toy companies. Except Pop Mart, valuation/share price of peers are quite weak.How to gain investor/market’s recognition for Bloks is a question mark.</li>
</ul>


The key for high growth in 2023/24Q1 lies in its assembly character toys with renowned IPs,which may not be sustainable or even collapse if Bloks fails to renew license agreements.
The advantages of Bloks in development prospects, self-developed IPs, brand stickiness are not obvious. The latest valuation reached RMB7.2 billion, but the founder has already cashed out before IPO. 
Hong Kong stock market has been “lukewarm” to toy companies. Except Pop Mart, valuation/share price of peers are quite weak.How to gain investor/market’s recognition for Bloks is a question mark.


Pre-IPO Bloks Group - High Growth May Not Be Sustainable

Blue Lotus China New Economy Research, Blue Lotus Research Institute

Eric Wen

Blue Lotus China New Economy Research

China growth and global non-US Internet equities

Blue Lotus Research Institute

Blue Lotus Research is a Hong Kong Type 4 Licensed investment advisory firm focusing on Chinese growth equities and global non-US Internet equities

Thematic (Sector/Industry)

<ul>
<li>300750 SZ: CATL launches new commercial battery brand Tianxing to accelerate truck electrification and defend market share.（/）</li>
<li>9992 HK: Pop Mart's first LABUBU theme store opens in Bangkok with over RMB10 million in sales on the first day(+)</li>
<li>1810 HK : Huawei to launch three-hinge/ fold smartphone. (/)</li>
</ul>


300750 SZ: CATL launches new commercial battery brand Tianxing to accelerate truck electrification and defend market share.（/）
9992 HK: Pop Mart's first LABUBU theme store opens in Bangkok with over RMB10 million in sales on the first day(+)
1810 HK : Huawei to launch three-hinge/ fold smartphone. (/)


[Blue Lotus Daily]:300750 SZ/9992 HK/1810 HK/1519 HK/ZTO US/SE US/ATAT US/981 HK/000977 CH

Asian Hedge Fund Manager, Long Short Equity, Macro

David Mudd

Hua Hong Semiconductor / Equity Bottom-Up

<ul>
<li>After hitting a low point in Q4 2023, Research on Hong Kong companies has been slow to pick up reflecting the ongoing skepticism from investors. </li>
<li>Reports on the large China tech companies dominated the top ten companies covered over the last couple of years and in the first half of 2024.</li>
<li>As China continues to dominate and make news in the global EV market, research in that sector has picked up.</li>
</ul>


After hitting a low point in Q4 2023, Research on Hong Kong companies has been slow to pick up reflecting the ongoing skepticism from investors. 
Reports on the large China tech companies dominated the top ten companies covered over the last couple of years and in the first half of 2024.
As China continues to dominate and make news in the global EV market, research in that sector has picked up.


BUY/SELL/HOLD: China/Hong Kong Stock Updates (July 8th)

Blue Lotus Non US Internet research, Blue Lotus Research Institute

Ying Pan

Blue Lotus Non US Internet research

<ul>
<li>NTES US: &lt;Naraka: Bladepoint&gt; PC Celebrates Third Anniversary with Several New Updates (+)</li>
<li>BIDU US: Baidu Netdisk Adds Vertical Screen Playback Feature to Accommodate Micro-Dramas (+)</li>
<li>AMZN US/BABA US: TikTok Shop to launch in Spain (-)</li>
</ul>


NTES US: &lt;Naraka: Bladepoint&gt; PC Celebrates Third Anniversary with Several New Updates (+)
BIDU US: Baidu Netdisk Adds Vertical Screen Playback Feature to Accommodate Micro-Dramas (+)
AMZN US/BABA US: TikTok Shop to launch in Spain (-)


[Blue Lotus Daily-TMT Update]:NTES US/BIDU US/AMZN US/BABA US/002230 SZ/9992 HK/1024 HK

China

Pop Mart International Group Limited operates as a toys wholesales company. The Company provides trendy toys designing, production, marketing, and other services. Pop Mart International Group markets its products worldwide.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Pop Mart International Group L (9992 HK)

Pop Mart (9992 HK): Short-Term Trading Opportunity On International Expansion

Pop Mart (9992 HK) presents an interesting story of a Chinese domestic brand going overseas, and potentially being successful overseas.

Steve Zhou, CFA

Pre-IPO Bloks Group - High Growth May Not Be Sustainable

High growth for Bloks in 2023/24Q1 hinges on assembly character toys with renowned IPs, but sustainability is uncertain due to potential license...

Xinyao (Criss) Wang

[Blue Lotus Daily]:300750 SZ/9992 HK/1810 HK/1519 HK/ZTO US/SE US/ATAT US/981 HK/000977 CH

CATL launches new commercial battery brand Tianxing to drive truck electrification and protect market share. Pop Mart's LABUBU theme store in...

Blue Lotus Research Institute

BUY/SELL/HOLD: China/Hong Kong Stock Updates (July 8th)

Tech NEV companies continue to dominate the research landscape for Hong Kong coverage. Bosideng, China Water Affairs, Topsports, BYD and Xiaomi...

David Mudd

[Blue Lotus Daily-TMT Update]:NTES US/BIDU US/AMZN US/BABA US/002230 SZ/9992 HK/1024 HK

Celebrating third anniversary with updates, Baidu Netdisk adds vertical screen playback, TikTok Shop to launch in Spain.

Blue Lotus Research Institute

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Pop Mart (9992 HK): Short-Term Trading Opportunity On International Expansion

Pop Mart (9992 HK) presents an interesting story of a Chinese domestic brand going overseas, and potentially being successful overseas.

Steve Zhou, CFA

Pre-IPO Bloks Group - High Growth May Not Be Sustainable

High growth for Bloks in 2023/24Q1 hinges on assembly character toys with renowned IPs, but sustainability is uncertain due to potential license...

Xinyao (Criss) Wang

[Blue Lotus Daily]:300750 SZ/9992 HK/1810 HK/1519 HK/ZTO US/SE US/ATAT US/981 HK/000977 CH

​CATL launches new commercial battery brand Tianxing to drive truck electrification and protect market share. Pop Mart's LABUBU theme store in...

Blue Lotus Research Institute

BUY/SELL/HOLD: China/Hong Kong Stock Updates (July 8th)

Tech NEV companies continue to dominate the research landscape for Hong Kong coverage. Bosideng, China Water Affairs, Topsports, BYD and Xiaomi...

David Mudd

[Blue Lotus Daily-TMT Update]:NTES US/BIDU US/AMZN US/BABA US/002230 SZ/9992 HK/1024 HK

​Celebrating third anniversary with updates, Baidu Netdisk adds vertical screen playback, TikTok Shop to launch in Spain.

Blue Lotus Research Institute

CATL launches new commercial battery brand Tianxing to drive truck electrification and protect market share. Pop Mart's LABUBU theme store in...

Celebrating third anniversary with updates, Baidu Netdisk adds vertical screen playback, TikTok Shop to launch in Spain.