Labubu maker Pop Mart rallies as new toy trend and state media spotlight spark confidence

Shares of Labubu maker Pop Mart surged on Friday, extending this week’s gain to 23 per cent, after its CEO appeared in a high-profile state media interview and a newly launched product went viral amid growing investor appetite for consumer stocks.In a documentary interview released by Xinhua News Agency at noon, founder and CEO Wang Ning reflected on the company’s entrepreneurial journey and outlined his long-term vision, offering rare public remarks that investors viewed as a signal of official recognition and confidence in the company’s business direction.“Companies built around intellectual property [IP] often go through cycles, with ups and downs, but IP businesses tend to be long-lived globally,” Wang said. “We may face many cycles in the future as well, but I believe Pop Mart will grow alongside generation after generation of consumers.”Shares of the Hong Kong-listed toymaker climbed as much as 9.2 per cent before ending the morning session up 6.5 per cent at HK$219.40, extending their weekly gain to 23 per cent.Sentiment had already been buoyed on Thursday after a new collectible under Pop Mart’s Pucky line – an electronic “wooden fish” toy launched earlier this month that emits a crisp tapping sound when pressed – went viral on Chinese social media, highlighting the company’s strength in novelty-driven consumption.Labubu maker Pop Mart’s rally has largely been driven by improving investor sentiment, according to analysts. Photo: TNSThe rally was also supported by a share buy-back programme this week. Pop Mart repurchased 1.4 million shares for a total of HK$251 million (US$32 million) on Monday, the first such move in nearly two years, according to company disclosures.