A research report by Bank of America Securities notes that Pop Mart (09992.HK) has fallen by approximately 43% since its peak in August, partly due to market uncertainty regarding its performance this year following more than a tenfold increase in earnings over the past two years. The firm believes that Pop Mart’s long-term success hinges on its IP ecosystem and platform. Bank of America Securities also noted that compared to major global IP operators such as Sanrio, Pop Mart faces lower IP concentration risks and is steadily moving toward establishing a more diversified IP portfolio over the long term. Bank of America Securities stated that while it maintains a positive view on Pop Mart’s long-term growth and competitive moat, it cannot entirely disregard the short-term impact of market debates regarding valuation, sentiment, and capital flows. Therefore, it maintains its earnings per share (EPS) forecast for the group but lowers its target price by 25% to HK$300. while reiterating a “Buy” rating. The firm cited numerous potential catalysts, including robust annual results expected in March, the company’s historically positive earnings guidance, and the potential launch of Labubu 4.0, noting that the group remains one of its top picks among Chinese consumer stocks this year.