Story
Miniso Stock Drops on Major Q2 Earnings Miss, Analyst Downgrades
Shares of Miniso (MNSO) fell 6.2% in pre-open trading to $9.69, extending losses that followed the company's second-quarter 2026 earnings report. The decline was triggered by a significant earnings miss and a subsequent wave of cautious analyst ratings that have soured investor sentiment.
Earnings Miss Driven by Overseas Weakness
Miniso's Q2 results, released on August 28, revealed a substantial shortfall against market expectations. The company reported an earnings per share (EPS) of ¥-0.94, a stark contrast to the consensus estimate of ¥1.95. Revenue of ¥5.75 billion also slightly missed the forecast of ¥5.81 billion.
Company executives attributed the poor performance to a sharp deterioration in international markets, which had previously been a key growth driver. CEO Guofu Ye stated that "overseas performance fell short of our expectation," noting that the profit contribution from international operations collapsed from a 35–40% range in 2023 to just 10–15% in the first half of 2026.
CFO Eason Zhang provided further details, citing a 10% decline in distributor business revenue across Asia and Latin America. He also pointed to weakening same-store performance in North America due to product launch timing issues and stock shortages of popular items.
AdAnalyst Downgrades Add to Selling Pressure
The disappointing results prompted several investment banks to reassess their outlook for the company, adding to the downward pressure on the stock.
- HSBC downgraded Miniso from Buy to Hold with a new price target of $10.80.
- Citi initiated coverage with a Neutral rating and an $11.30 price target.
- BofA Securities cut its U.S. price target to $12.40 from $17.50 and reduced its non-IFRS EPS forecasts by 20% for 2026 and 16% for 2027.
These actions reflect growing skepticism among analysts about the pace and profitability of Miniso's overseas recovery. The stock is now trading near its 52-week low and has fallen more than 58% over the past year amid concerns about margin compression and its international strategy.
Read next
More on Stocks
FTC Orders Walmart, Uber, Delta to Disclose Data on Personalized Pricing
The U.S. Federal Trade Commission is demanding nine major companies, including leading retail, travel, and gig economy firms, to provide information on how they use consumer data for setting individual prices and wages.
Google Launches Gemini 4 Carbon AI Model to Bolster Cybersecurity Capabilities
Alphabet's Google has unveiled Gemini 4 Carbon, its latest AI model specifically designed for advanced cybersecurity tasks like vulnerability detection and secure code generation. The launch escalates competition with rivals OpenAI and Anthropic in the enterprise AI market.
Oracle Shares Surge After Unveiling $225 Billion Revenue Target for 2030
Oracle stock rose sharply after the company presented a long-term financial outlook targeting at least $225 billion in annual revenue by fiscal 2030, driven by its expanding AI infrastructure business.
DOJ Scrutinizes Nvidia's $12.9B Hugging Face Deal Amid Broader Antitrust Probe, Sources Say
The U.S. Department of Justice is reportedly examining Nvidia's planned $12.93 billion acquisition of AI platform Hugging Face as part of a wider, ongoing antitrust investigation into the chipmaker's market conduct.