Analysis of the Strong Performance of Jingsheng Equipment (688478): Short-Term Market Assessment Driven by Sector Rotation

The

[1]. According to market reports on January 16, 2026, the semiconductor sector’s gains expanded significantly in the afternoon. Jingsheng Equipment, along with over 10 stocks including Tianyue Advanced, Huacheng Co., Ltd., Yubang New Materials, and Huarun Microelectronics, hit the daily limit or rose by over 10% [1]. This sector-wide collective rally provides strong market environment support for individual stocks.

From the perspective of capital flow logic, after the continuous sharp rises in the memory segment (e.g., Baiwei Storage, Jiangbolong) and semiconductor equipment segment (e.g., Zhongke Feice, Jingce Electronics), capital began to spread to previously lagging segments such as semiconductor materials, packaging, and testing. As a semiconductor crystal growth equipment supplier, Jingsheng Equipment is exactly a beneficiary of this diffusion logic, showing typical

[1].

Against the backdrop of the A-share market opening high and closing low with the three major stock indices falling on the day, the STAR 50 Index rose 1.35% against the market, significantly outperforming the Shanghai Composite Index (down 0.26%) [1][2]. Market risk appetite clearly tilted toward the STAR Market, with the tech growth sector becoming the main direction of capital rotation. As a STAR Market-listed company, Jingsheng Equipment directly benefited from this sector-level capital inflow.

Jingsheng Equipment focuses on the R&D, production, and sales of

, with main products including semiconductor-grade monocrystalline silicon furnaces, silicon carbide monocrystalline furnaces, and sapphire monocrystalline furnaces, etc. [6][7]. The company’s products are applied in key links such as 8-12 inch semiconductor wafer manufacturing and silicon carbide substrate manufacturing, with customers covering leading enterprises including Shanghai Xinsheng, Jinruihong, Shenggong Co., Ltd., Sanan Optoelectronics, Dongni Electronics, Hejing Technology, and BYD [7]. The company is in the core track of semiconductor domestic substitution, benefiting from the long-term logic of domestic wafer fab expansion demand and growing demand for third-generation semiconductor materials.

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Date	Closing Price	Daily Change	Turnover Rate	Turnover Amount
2026-01-14	RMB 39.53	+1.57%	3.9%	Approx. RMB 160 million
2026-01-15	RMB 40.77	+3.14%	3.44%	Approx. RMB 143 million

From the perspective of price-volume coordination, the stock price rose for two consecutive trading days, with the turnover rate maintaining a relatively high level of 3-4%, indicating high market attention and active chip turnover [0]. The closing price of RMB 40.77 on January 15 broke through the upper edge of the recent consolidation range, showing a strong technical pattern.

: Capital flow data shows obvious divergence characteristics [3][4][5]:

• January 12: Main capital net outflow of RMB 7.844 million (accounting for 4.89%)
• January 14: Main capital net outflow of RMB 5.7362 million (accounting for 3.58%)
• January 15: Main capital net outflow of RMB 9.3958 million (accounting for 6.58%)

Main capital (large orders) has seen net outflows for consecutive days, while the stock price rose against the trend, forming a typical capital structure of ‘main capital exiting, retail investors taking over’ [3][4][5]. Hot money also showed net outflows, while retail capital (medium and small orders) showed net inflows. Such capital divergence usually indicates short-term correction risks.

Price Level Type	Price Range	Technical Implication
Short-term Resistance Level	RMB 41-42	Upper edge of the previous consolidation range
Short-term Support Level	RMB 39-40	Lower edge of the recent consolidation range
Strong Support Level	RMB 36-38	Previous low range

From a technical analysis perspective, if the stock can effectively break through and hold above RMB 40.77, it may open up short-term upside potential; if it pulls back to RMB 39-40 and stabilizes, it is a normal technical retracement; if it falls below RMB 38, caution is needed against the risk of a double top formation [0].

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Nanjing Jingsheng Equipment Co., Ltd. was founded in 2012, and is a high-tech enterprise focusing on semiconductor special equipment [6][7]. The company is mainly engaged in the R&D, production, and sales of crystal growth equipment, whose products are applied in key links such as semiconductor wafer manufacturing and silicon carbide substrate manufacturing. The company has entered the supply chain system of many leading semiconductor wafer and silicon carbide substrate enterprises, and has certain market competitiveness.

According to 2025 Q3 report data, the company’s fundamentals are under obvious pressure [0]:

Financial Indicator	Value	Year-on-Year Change
Operating Revenue	RMB 191 million	-41.13%
Net Profit Attributable to Parent Company	-RMB 11.2607 million	-120.71%
Net Profit After Non-Recurring Items	-RMB 27.1613 million	-204.65%
Gross Profit Margin	8.07%	Sharp Decline
Operating Cash Flow	Negative	Under Pressure

The company is currently in a

, with significant declines in revenue and profit, gross profit margin dropping to single digits, operating cash flow under pressure, and a relatively low asset-liability ratio of approximately 9.57%. The current stock price rally is , rather than fundamental improvement.

From a fundamental perspective, the company faces

, and it is difficult to see a performance inflection point in the short term. The semiconductor equipment industry is highly capital-intensive, with long order cycles and revenue recognition cycles. Fundamental improvement requires time and the release of orders from downstream customers. There is a certain degree of divergence between the current stock price and fundamentals.

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1. Capital Divergence Risk
   : The continuous net outflow of main capital diverges from the rising stock price, which is a typical pattern of ‘main force exiting, retail investors taking over’ [3][4][5]
2. Fundamental Deterioration Risk
   : The company’s 2025 performance declined significantly, the loss expanded, and it is difficult to see an inflection point in the short term
3. Uncertainty in Catch-Up Rally Sustainability
   : As a stock with relatively small previous gains in the semiconductor sector, it may face a correction after the sector rotation ends
4. High Turnover Rate Risk
   : The turnover rate has been above 3-4% for consecutive days, indicating loosening chips
5. Market Sentiment Correction Risk
   : The semiconductor sector has seen large short-term gains, and there is a possibility of sentiment pullback

1. Long-Term Logic of Semiconductor Domestic Substitution
   : The company is in a key link of semiconductor equipment, benefiting from long-term policy support for domestic substitution
2. Increased Risk Appetite for the STAR Market
   : Market capital tilts toward the STAR Market, and attention to the tech growth sector increases
3. Growing Demand for Silicon Carbide
   : Demand for third-generation semiconductor materials is rising, and the company’s silicon carbide monocrystalline furnace products are expected to benefit

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Time Horizon	Assessment	Core Logic
Short-Term	⭐⭐⭐ (Moderately Strong)	Driven by sector sentiment and capital rotation, but continuous main capital outflow is a hidden risk
Medium-Term	⭐⭐ (Weak)	No fundamental improvement seen, need to wait for performance inflection point and order release
Long-Term	⭐⭐⭐ (Moderate)	The semiconductor equipment track is promising in the long term, but the company needs to prove its competitiveness

1. Aggressive Investors
   : May consider participating with a light position, set a stop-loss level at RMB 39-40, adopt a quick in-and-out strategy, and strictly follow discipline
2. Conservative Investors
   : Mainly hold a wait-and-see attitude, wait for the return of main capital or signals of fundamental improvement before entering
3. Risk Warning
   : The current market is sentiment-driven, not value-driven. It is recommended to strictly control position size (no more than 20% of total position) and set stop-losses

• Changes in trading volume (whether it continues to expand or shrink)
• Main capital flow direction (whether it turns to net inflow)
• Overall sentiment of the semiconductor sector
• Company order and performance inflection point signals
• STAR 50 Index trend

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Jingsheng Equipment (688478) was added to the strong stock pool as a result of the combined effect of the

. The company’s fundamentals are weak, with losses continuing to expand. The current rally is mainly driven by sentiment and capital rotation. Technically, it shows the capital divergence characteristic of ‘main force exiting, retail investors taking over’, warranting caution against short-term correction risks.

From an investment perspective, this stock is a

short-term trading target, suitable for investors with higher risk appetite to participate moderately, but position size and stop-losses must be strictly controlled. Medium- to long-term investment requires waiting for signals of fundamental improvement and the emergence of a performance inflection point.