Bubble Mart International Group Limited (Bubble Mart) announced on March 26 that they have repurchased 3.94 million shares, spending 599 million Hong Kong dollars. This move comes after the company’s stock price dropped more than 30% over two consecutive days, serving as a signal to stabilize the stock price for the market.
In a disclosure report titled “Next-Day Disclosure Template – [Share Repurchase],” Bubble Mart revealed their repurchase of 3.94 million shares, accounting for 0.2938% of the issued shares, at a repurchase price ranging from 148.4 to 157.8 Hong Kong dollars.
Analysts told The Paper that Bubble Mart’s repurchase aims to stabilize market sentiment and convey the company’s strong confidence in long-term growth to the market.
The decline in Bubble Mart’s stock price began on March 25 when they released a report on the annual performance and the change in the use of proceeds for the year ended December 31, 2025. The report showed a significant increase in revenue from 13,037.7 million yuan in 2024 to 37,120.1 million yuan in 2025, a year-over-year growth of 184.7%. Profit surged from 3,308.3 million yuan in 2024 to 13,012.0 million yuan in the reporting period, marking a 293.3% increase.
Despite the impressive nearly threefold revenue growth and profit more than tripling within a year, the capital market’s response was surprising.
Following the announcement, Bubble Mart’s stock price began to decline. By the close of March 25, the stock had dropped by 22.51%, settling at 168.3 Hong Kong dollars per share, causing a daily market value loss of 65.57 billion Hong Kong dollars. On March 26, the stock price closed down by 10.46% at 150.7 Hong Kong dollars per share.
Market analysts speculate that doubts about the company’s ability to maintain high-speed growth in 2026 may have been the reason for the significant drop in the stock price. During the financial performance meeting on March 25, the company’s management stated: “This year, we hope to achieve growth of no less than 20%.” The sharp contrast between the 184.7% growth in 2025 and the projected 20% in 2026 raised concerns.
CICC International adjusted their profit forecast for 2026 to 2027 by 10% to 11% based on the company’s latest guidance and profit margin uncertainty.
On March 25, media personality and economic researcher Da Wei analyzed in the “Leveraged Game” that investors in the capital market never look back but focus on the future. Prior to the financial report release, market expectations for Bubble Mart were already high. The stock price soared from less than 100 Hong Kong dollars in early 2025 to over 220 Hong Kong dollars, as the market had priced in expectations of globalization and high growth. In 2025, Bubble Mart’s revenue growth fell short of expectations, where previous forecasts by major brokerage firms were around 37.89 billion yuan.
According to reports from Yicai on March 26, in January of this year, Bubble Mart’s stock price experienced a continuous decline, leading the company to conduct two large-scale repurchases on January 19 and 21, with a total repurchase amount of nearly 350 million Hong Kong dollars (approximately 309 million RMB).
Public records show that Bubble Mart International Group Limited was founded in 2010 and went public in 2020. It is a Chinese trendy toy brand.