Pop Mart Short Interest Rises to 12.67% as 92.4% Share Utilization Raises Squeeze Risk
Updated
Updated · CNBC · Jun 30
Pop Mart Short Interest Rises to 12.67% as 92.4% Share Utilization Raises Squeeze Risk
1 articles · Updated · CNBC · Jun 30
Summary
Pop Mart short interest climbed to 12.67% of shares outstanding by Tuesday from 11.3% in April, even as the stock rebounded and made it the only one among Hong Kong’s 10 most-shorted names where shorts are losing money.
An 8% recovery from the April year-to-date low has increased pressure on bearish traders, while 92.4% share utilization means nearly all lendable stock is already on loan, raising borrowing costs and the risk of a technical short squeeze.
Bears are still pressing the trade because they see cooling overseas demand and weaker appetite for the Labubu line, arguing Pop Mart may struggle to sustain its earlier breakneck growth.
Analysts remain split: Citigroup kept a buy rating but cut its target to HK$263 on near-term overseas volatility, while Bernstein maintained underperform with a HK$181 target after management signaled slower expansion.
Pop Mart shares remain more than 50% below their August peak at HK$153, with management calling 2026 a 'pit stop year' focused on consolidation and more sustainable growth.