Fast-fashion retailer Shein shares fall more than 10% in pre-debut trading
The retailer’s valuation has fallen well below its 2022 peak as tariff changes and weak consumer sentiment weigh on demand.
- On Tuesday, fast fashion giant Shein debuts on the Hong Kong Stock Exchange, raising $1.7 billion and valuing the company at about $26.5 billion.
- Regulatory pressure from the US and Europe—including removal of 'de minimis' duty exemptions—undermined Shein's business model, leading to a $99 million loss in the first quarter of 2026.
- Shein's valuation has dropped to roughly one-quarter of its nearly $100 billion peak from a 2022 private fundraising, reflecting sharp investor concerns about the business model.
- Shares slumped more than 10% in gray-market trading on Monday, with major Hong Kong brokers Futu Securities, Bright Smart, and Phillip Securities reporting the decline within minutes.
- Bevis Ho, senior analyst at Futu Securities, noted "caution among both retail and institutional investors," citing greater potential in AI and robotics themes than fast fashion.
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30 Articles
Third time's the charm. Shein has been trying to go public since 2023, but without success on Wall Street and in London. Now the company is choosing Hong Kong. Investors can trade the stock there starting Tuesday. Is it worth it for you too? “Anyone looking to buy had better be well-informed, because an investment in Shein is not without risk,” warns HLN financial expert Pascal Paepen. He sees two better alternatives.
The fast fashion giant arrives at the Hong Kong Stock Exchange with a value of about 22,850 million euros.
The Chinese fast fashion company will give the jump to the Hong Kong Stock Exchange with a rating of 73% below its 2022 peak after three years of frustrated attempts to debut in New York and London
Worse margins than the main listed textile groups and the problems they face in the US and Europe drag down the expected stock debut of the Asian group
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