SHEIN, a global online fashion and lifestyle company, is targeting a valuation of $35-40 billion in its planned initial public offering on the Hong Kong stock market, analysts noted.

Founded in 2012, SHEIN operates across about 160 markets and benchmarks itself against the international fashion groups Inditex and H&M. Its operating model, which it calls Large-scale Automated Test Reorder (LATR), links its supply chain and fulfilment network to balance product range, design speed and inventory control.

The company reported net revenue of $41.8 billion in 2025, a compound annual growth rate of 14.2 percent in 2023-2025, and net profit of $2.064 billion in 2025. In the first quarter of 2026, it reported net revenue of $9.1 billion, up 1.1 percent year-on-year.

SHEIN said its active customers grew from 186 million in 2023 to 273 million in 2025, a compound annual growth rate of 21.2 percent. It also reported inventory turnover of 36 days, compared with 71 days for Inditex, 114 days for Fast Retailing, and 164 days for Adidas.

SHEIN intends to maintain a dividend payout ratio of at least 50 percent after listing.

On valuation, SHEIN said market analysts assign it a price-to-earnings range of 20 to 30 times, positioning it between H&M, at a projected 20 times FY2027 earnings, and Inditex, at 25 times.

The company highlighted its trajectory as a shift from a Chinese cross-border retailer to a global fashion business. After a Hong Kong listing, SHEIN plans to utilize the international capital market to further develop its technology and global operations.

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