POP MART (09992.HK) shares soared 5.19% during the morning trading session on Wednesday, leading a rally in Hong Kong toymaker stocks. The company's stock price surge comes amidst growing popularity of its products, particularly the monster Labubu dolls, which have gained significant traction in recent weeks.
The Labubu dolls have become a sensation, attracting celebrity endorsements from figures like Kim Kardashian. The popularity has resulted in long queues forming outside POP MART and Roboshops stores in the UK, indicating strong consumer demand for the company's products. This surge in interest has likely contributed to investors' positive sentiment towards POP MART's stock.
In response to the overwhelming demand and to ensure customer safety, POP MART has made a strategic decision to temporarily pause the in-store sales of its monster Labubu dolls. The company announced this move through its UK social media channels on Monday, stating that all POP MART UK Stores and Robo Shops would suspend the sale of the monster plush toys until further notice. This decision, aimed at managing the high demand while prioritizing customer comfort and safety, appears to have been well-received by the market, further boosting investor confidence in the company's management.
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