Has anyone heard about these things? My wife came in talking about how it's an absolute craze and she wants one. I kept telling her it's a stupid fad like beanie babies but she insists she wants one. Looking into it, these things are driving people **absolutely crazy** and it's come from absolutely nowhere. I've never heard of these things or seen them before and suddenly there's round the block queues to get into the store where they're being sold in my city.
So I took a look at who makes them - Pop Mart - is publicly traded on the Hong Kong Stock Exchange with ticker 9992.HK. I'm half wondering if this is the result of some weird mass marketing campaign funded via TikTok tbh, but regardless, people are going nuts for them and we're probably at the very beginning of this craze.
I checked their earnings and they’re absolutely flying. Net income up almost 200% YOY, and a massive chunk of that is just from these stupid dolls. One product line basically carrying their whole business right now. If this momentum keeps up, the upside might not even be in flipping the toys, but the stock. But obviously the risk is this all collapses just as fast as it blew up.
So on one hand, it’s clearly a bubble waiting to pop. On the other hand, bubbles can go a long way before they burst, and if you're early enough, there's money to be made. Curious if anyone here’s actually looking at Pop Mart as a short-term growth play or if this bizarre market has just gone too much into my head.
I might dump a couple hundred on it and see how it goes.