J.P. Morgan has upgraded its earnings forecast for POP MART (09992), projecting 2025 revenue and net profit to reach RMB30.4 billion and RMB9.4 billion respectively. The investment bank anticipates a 2025-2027 revenue and earnings CAGR of 23% and 25%. POP MART maintains its position as the top pick in China's consumer sector, with the target price lifted from HK$330 to HK$340 alongside an "Overweight" rating.

The stock surged 60% over three months and skyrocketed 5.88-fold over twelve months, significantly outperforming the Hang Seng Index's 15% and 39% gains during corresponding periods. Investors are advised to accumulate on dips given POP MART's robust long-term investment thesis, anchored by formidable IP operation capabilities and monetization models.

Following POP MART's positive earnings alert, J.P. Morgan expects H1 2025 revenue to surge over 200% year-on-year to RMB13.67 billion. Adjusted net profit is projected to leap more than 350% YoY to RMB4.5 billion, implying a 10-percentage-point YoY expansion in net profit margin to approximately 32%. These figures exceed the bank's previous estimates by 24%.