Laopu Gold’s 2,300% Rally Faces Test After Stock Hits HK$1,000
Laopu currently trades at nearly 32 times forward earnings, above Chow Tai Fook’s ratio at around 16.
Photographer: Lam Yik/BloombergA breathtaking rally in Laopu Gold Co. is facing a critical test after its stock price hit HK$1,000 ($127), a rare milestone that may deter retail investors due to the steep price tag.
The jewelry maker soared more than 2,300% since its listing in late June 2024 to set a new record earlier Thursday, emerging as the new face of Chinese luxury and outperforming over 500 peers in the Hang Seng Composite Index. Its share price far surpasses the second-most expensive stock in Hong Kong: bubble tea maker Mixue Group which is trading at around HK$580.