Zhi Tong Cai Jing·2025-10-16 03:35Core Viewpoint - Morgan Stanley has upgraded Pop Mart (09992) investment rating to "Overweight" and raised the target price from HKD 300 to HKD 320, following a 5% to 7% increase in earnings estimates for 2025 to 2027 [1] Financial Performance - The bank forecasts that Pop Mart's sales and adjusted profit will increase by 165% and 276% year-on-year, respectively, for this year [1] - For the next year, sales and adjusted profit are expected to rise by 28% and 29% year-on-year, respectively [1] Valuation and Market Outlook - The company is currently trading at a forecasted price-to-earnings ratio of 20 times for the next year, which is considered attractive [1] - Future catalysts for growth include: 1. Third-quarter operational data to be released at the end of October [1] 2. Strong sales expected during Halloween and Christmas [1] 3. Anticipated release of the "Labubu & Friends" animation in December [1] 4. Expected launch of Labubu 4.0 in March to April next year [1]