Shein shares dropped 17.5% after fourth day of losses following Hong Kong IPO debut
Singapore-listed Shein's stock traded lower for a fourth consecutive day, declining 17.5% since its market launch in June 2025 as investors question the effectiveness of its low-cost growth model.
Shares of Shein fell after trading at a loss for four straight days following its public listing in Hong Kong. The stock dropped 17.5% from its opening price on Tuesday, marking another setback for the Singapore-headquartered fast-fashion retailer. Revenue reached $41.8 billion in the fiscal year ending late 2025, compared to $38.7 billion the prior year. However, the company posted a net loss of $99 million in the first quarter of 2026, reversing profit margins from the previous year. Analysts at eToro suggest the brand must expand beyond its U.S. and European dominance to sustain growth. Josh Gilbert, lead analyst for APAC at eToro, noted that the initial market reaction highlights a significant need to prove continued business viability.
