Shein hits fresh low after quarterly profit drops 67%
Shares fell 13.9% to HK$30.36, their lowest level and biggest one-day percentage drop since the Hong Kong debut.
36, their lowest level and biggest one-day percentage drop since the stock debuted in Hong Kong on September 1. The company said on Monday that quarterly profit dropped 67% in its first results as a public company, intensifying investor concerns over margin pressure and slowing growth. Jefferies, which has an "underperform" rating on the stock, cut its price target to HK$23 from HK$26. The broker said 1H26 group revenue was in line, but the regional mix worsened and margin pressure remained the key issue.
"Margin pressure builds before the EU parcel change lands," Jefferies said, adding, "We see scope for FY26/27 consensus to move lower". 56. 4%.