How a legendary investor went from hating Pop Mart to becoming its second-largest shareholder
Duan Yongping, China's Warren Buffett, once said he couldn't understand why people buy Pop Mart's blind boxes. Then he visited a London store, read the founder's biography, and ended up becoming the company's second-largest shareholder. Here's the story of his dramatic reversal.
Pop Mart, the Chinese toy company that sells blind boxes filled with cute figurines, has a new biggest fan: Duan Yongping, a legendary investor often called China's Warren Buffett. But it wasn't always this way. Just a year ago, Duan was openly skeptical of Pop Mart, saying he couldn't understand its long-term value. Then something changed. In early 2025, Pop Mart released its annual report: revenue surged 184.7% to 37.12 billion yuan, and net profit jumped 284.5%. The market was impressed, but the stock still fell 34.7% in five days due to concerns about future growth. That's when Duan started paying attention. He visited a Pop Mart store in London, read the founder's biography, and posted on social media that he was 'excited' about the company. He even sold put options—a bet that the stock wouldn't fall—and profited from the premiums. By May, he had swapped all his shares in Shenhua Energy for Pop Mart, making him the second-largest shareholder after founder Wang Ning. Duan's reversal is a case study in how even the most skeptical investors can be won over by a company's cultural impact and financial performance. Pop Mart's success is driven by its ability to tap into the emotional connection consumers have with collectible toys, a trend that's spreading globally. For Duan, it was the combination of strong fundamentals and a founder he respects that sealed the deal.
Why it matters
Pop Mart is a cultural phenomenon in China, and its success reflects broader trends in consumer behavior, especially among Gen Z. Duan Yongping's investment signals that even traditional value investors see potential in the 'emotional economy'—where people spend on experiences and collectibles rather than just necessities. This matters because it shows how Chinese companies are creating global brands and how investors are adapting to new consumer trends.
Global comparison
Pop Mart is often compared to Funko in the US, but it's more like a mix of Disney's character licensing and the surprise element of Kinder Eggs. While Funko focuses on pop culture licenses, Pop Mart creates original characters like Molly and LABUBU that have huge fan followings. Globally, the blind box trend is growing, with companies like Japan's Bandai and Korea's Kakao Friends adopting similar models. Duan's investment is a bet that Pop Mart can replicate its Chinese success internationally.