The rise of Labubu dolls has been nothing short of extraordinary. What started as a quirky character from a children’s book has transformed into a cultural and financial phenomenon, lifting Pop Mart’s stock price by triple digits and fueling a thriving resale market.
Yet, signs are emerging that the fever may be cooling, leaving collectors and investors questioning whether the bubble is beginning to lose air.
The Origins of Labubu
Labubu was created by Hong Kong artist Kasing Lung. It initially appeared in illustrated stories before Pop Mart acquired licensing rights in 2019. Since then, the toy has evolved beyond its original audience. What once appealed primarily to children quickly shifted into a status symbol for young adults and pop culture enthusiasts.
The turning point came in 2024, when global icons such as Lisa and Rosé from Blackpink showcased their fascination with the dolls. A single photo of Lisa hugging a Labubu plush set off a wave of demand across Asia, turning the toy into a collectible fashion accessory.
Record-Breaking Popularity
Pop Mart capitalized on this momentum with impressive results. For the first half of 2025, the company reported a 204% surge in revenue and nearly 400% growth in net profit. Stock prices mirrored this momentum. From early 2024 to August 2025, shares soared by 1,694%, hitting an all-time intraday high of nearly HK$340.
Demand wasn’t just about retail sales. Secondary-market activity fueled the frenzy. Limited-edition dolls were often resold for multiples of their original price. At the peak, a human-sized Labubu plush sold for an astonishing C¥1.08 million (about $151,700) at a Beijing auction.
Shifts in the Resale Market
The resale market now tells a different story. Pop Mart’s latest “mini Labubu” blind box collection launched with excitement, but prices began slipping within weeks.
Initially reselling for C¥2,600 ($365), the full set now trades closer to C¥1,594 ($225).
The “hidden” Heart figurine dropped from nearly C¥1,000 ($139) to under C¥700 ($95).
This downward trend reflects a shift in consumer confidence. While larger or rarer versions may still hold value, resale activity suggests that buyers no longer see Labubu as a guaranteed investment.
Why Interest May Be Cooling
Several factors contribute to the dip in momentum:
1. Increased production – Pop Mart has expanded its output, making once-scarce figures easier to find.
2. Market saturation – Frequent new releases may have diluted the sense of exclusivity.
3. Changing trends – Viral collectibles often lose their shine once the hype cycle moves on.
Consumer surveys highlight this sentiment. A poll on Alibaba’s resale platform Xianyu revealed that half of the respondents expect Labubu prices to continue dropping. This expectation alone can reduce demand, creating a self-reinforcing cycle.
Pop Mart’s Stock Under Pressure
As resale enthusiasm fades, Pop Mart’s stock price has begun to slip from its highs. After peaking at HK$335 in August, the shares have retreated by more than 20%. Investors are concerned that the company’s rapid growth relied too heavily on a single product’s popularity.
The brand still commands attention in China and beyond, but the slowing secondary market suggests the craze is stabilizing. For a company that thrived on scarcity and surprise through its blind-box strategy, too much supply risks undermining the very scarcity that drove the surge.
The Turning Point for Labubu
The Labubu story illustrates how quickly cultural trends can translate into financial markets. From a niche toy to a must-have collectible, it captured the imagination of fans worldwide while fueling a remarkable stock surge. Yet, resale declines and shifting consumer sentiment signal that the frenzy may be tapering off.
Whether Labubu becomes a lasting collectible like Beanie Babies once were, or settles into a niche market, depends on how Pop Mart adapts. Maintaining rarity, innovating designs, and expanding beyond a single viral figure may be essential steps. For now, the market’s message is clear: the Labubu craze is entering a new chapter that may test whether its popularity was built on lasting appeal or short-term hype.
