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Bloomberg Published December 20, 2024 Reading time
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China’s ‘old shop’ jeweler bucks slowdown with 437% stock rally

By
Bloomberg Published
December 20, 2024

If anything glitters in China’s otherwise dour retail jewelery landscape, chances are it just might be from Laopu Gold Co.

The Bejing-based jeweler, whose Chinese name translates to “old shop,” is luring shoppers as it outshines market leader Chow Tai Fook Jewellery Group Ltd. and other local brands, from sales growth to stock performance. Revenue increased 148% on-year in the first six months of 2024 and is on course for more than doubling this year, while shares have surged 437% since its listing in Hong Kong in June — making it the best performer on the Hang Seng Composite Index this year.

The 14-day relative strength index on the stock has breached 80 at least five times since its market debut, a rare level that’s considered indicative of an outperformer. An RSI value of 70 and above typically denotes the stock is overbought, but analysts are still bullish, with all 14 covering the company recommending buying the stock, data compiled by Bloomberg show.