JP Morgan downgraded Pop Mart (09992.HK) to Reduce from Neutral and cut its target price to HK$120 from HK$165. The bank says Q2 was a structural inflection: revenue fell 11% YoY — the first quarterly decline since 2023 — marking a shift from hypergrowth to normalization. H1 revenue was RMB 17.2 bln, up 24% YoY but 11% below JP Morgan’s estimate. Overseas operating margin contracted 14 ppt YoY to 30%, adding pressure on H2 results. JP Morgan now forecasts Q3 revenue down >35% YoY and Q4 down ~20

JP Morgan downgraded Pop Mart (09992.HK) to Reduce from Neutral and cut its target price to HK$120 from HK$165. The bank says Q2 was a structural inflection: revenue fell 11% YoY — the first quarterly decline since 2023 — marking a shift from hypergrowth to normalization. H1 revenue was RMB 17.2 bln, up 24% YoY but 11% below JP Morgan’s estimate. Overseas operating margin contracted 14 ppt YoY to 30%, adding pressure on H2 results. JP Morgan now forecasts Q3 revenue down >35% YoY and Q4 down ~20%, saying its prior downside scenario has effectively become the base case as weak demand and deleveraging emerge.