Bloomberg Intelligence estimates that Shein could be worth between $22 billion and $25 billion as the fast-fashion retailer prepares for a major initial public offering.

The valuation is based on expected earnings of about $1.67 billion in 2027, with analysts projecting roughly 20% annual earnings growth through 2029.

The estimate is well below Shein’s $66 billion valuation in 2023 and its peak valuation of about $100 billion in 2022, reflecting slower growth and increased regulatory and trade pressures.

Shein is reportedly seeking a valuation between $30 billion and $40 billion, but analysts say that price would require strong growth and successful navigation of European regulations, Bloomberg has reported.

The company’s China-focused supply chain also leaves it exposed to tariffs, shipping costs and international regulations, adding uncertainty to its IPO valuation.