On June 11, Lao Pu Gold fell 3.02% in regular trading, trading at 435.6 HKD/share, with trading volume of 14.66 million HKD. The stock has now declined approximately 59% from its historical high of 1,065 HKD, with total market capitalization retreating to around 80 billion HKD.

On the news front, international gold prices have undergone a deep correction, with spot gold falling over 22% from yearly highs, effectively erasing all gains since the beginning of the year, placing broad selling pressure on the gold jewelry sector. Citibank previously slashed Lao Pu Gold's target price from 1,162 HKD to 700 HKD, a reduction of nearly 40%, while cutting revenue forecasts for fiscal years 2027-2028 by 29%-30% and net profit estimates by 27%-28%.

Citi noted that following Lao Pu Gold's February price increase amid falling gold prices, its premium over traditional gold retailers has surged beyond 55%, compared to just 10% in a prior year. This elevated premium has led to price-sensitive customer attrition, with nationwide store sales reportedly declining approximately 30% year-over-year in March and April. Tmall 618 promotional activity performance has also been weaker than expected, further weighing on sentiment. Notably, founder Xu Gaoming has publicly stated the company does not employ any hedging tools against gold price volatility.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)