In August, the global Labubu craze made Chinese toy mogul Wang Ning richer than the country’s renowned Alibaba cofounder Jack Ma. But in recent months, the 38-year-old billionaire has seen $11.3 billion of his once $27.5 billion fortune slip away amid worries that the rabbit-ish doll with pointed ears and a mischievous smile may prove just to be a fad.

The chairman and CEO of Pop Mart International Group still has a fortune, estimated by Forbes at $16.2 billion, mostly from a stake in the Hong Kong-listed toy maker. Shares of Pop Mart have tumbled about 40% from their August peak of HK$339.80 ($43.7) to around HK$200, vaulting Alibaba’s Ma back above Wang in wealth rankings in the world’s second-largest economy.

And the new year could bring Pop Mart significant challenges. Revenue might grow only 30% compared with an estimated 200% in 2025, Jeff Zhang, a Hong Kong-based equity analyst at research firm Morningstar, says by email. The high base-effect from this year plays a role, but Zhang also points to weakening demand in the Greater China region and slower growth in........

© Forbes