Shein heads into its IPO: why the company's valuation has fallen 75% in four years

Shein Global Holdings, the budget fashion giant founded in China in 2008 and now headquartered in Singapore, is finally set to make its long-awaited debut on the Hong Kong Stock Exchange in early September. The company surged in popularity among young consumers during pandemic-era lockdowns, sharply boosting both sales and its user base.

But its valuation has fallen sharply since then. Where the company was valued at roughly $100 billion in 2022, filings published Monday show Shein is now valued at only around $27 billion — a decline of nearly 75% in four years. The company had previously attempted to list in both London and New York, but was forced to abandon those plans for a number of reasons, including objections from U.S. lawmakers.

Several factors have driven the drop in valuation. Last month, Shein reported a quarterly loss amid slowing sales and changes to tariff exemptions under President Trump, including the elimination of the de minimis exemption that had spared goods under $800 from duties. As a result, Shein posted a $99 million loss on $9.05 billion in revenue in the first quarter of 2026 — compared with a $395 million net profit on $8.95 billion in revenue during the same period a year earlier.

In its listing prospectus, the company warned that its business could continue to face headwinds from tariffs, the war involving Iran and other factors: "We have grown rapidly since our founding, but there is no guarantee this growth will continue," the filing states.

Still, for investors waiting for a chance to buy shares of a company with 281 million active users, the long-anticipated opportunity is finally near — Shein's stock is set to begin trading on Tuesday, September 1.