Behind the Limit-Up of Yanjiang Co., Ltd. (300658) from Cross-Border Acquisition: Risks and Opportunities Coexist

Yanjiang Co., Ltd. (300658) surged by the daily limit on January 19, 2026, closing at 17.78 yuan with a gain of +19.97%, a turnover of 1.279 billion yuan, and a turnover rate as high as 34.02%, hitting a new 52-week high. The company’s stock price has risen by 53.94% in the past 30 trading days, showing typical characteristics of a strong stock. The core catalyst for this limit-up is the major asset restructuring plan released after resuming trading—the company plans to acquire a 98.54% stake in Ningbo Yongqiang Technology Co., Ltd. via a combination of share issuance and cash payment. Upon completion of the transaction, the company will make a cross-border foray into the high-end semiconductor materials sector. However, risks such as the target company’s consecutive losses, sky-high valuation of the acquirer, institutional capital flight, and potential insider trading investigation pose significant challenges to the sustainability of the stock price.

This transaction constitutes the most important strategic transformation of Yanjiang Co., Ltd. since its listing. The company plans to acquire control of Ningbo Yongqiang Technology Co., Ltd. The core elements of the transaction plan include: a 98.54% acquisition stake, a combined payment method of share issuance plus cash, with the share issuance price for asset acquisition at 8.85 yuan per share, and the supporting financing issuance price at 9.94 yuan per share. The transaction counterparties cover 28 shareholders (including the founder team) [1][2]. This transaction is expected to constitute a major asset restructuring but does not constitute a backdoor listing.

Ningbo Yongqiang Technology Co., Ltd. focuses on the R&D, production, and sales of high-end electronic interconnection materials for integrated circuits. Its core products include high-performance copper-clad laminates (CCL), prepregs (PP), and IC packaging substrate materials, with downstream application scenarios covering cutting-edge fields such as AI computing power, high-speed communications, advanced packaging, 5G/6G, and aerospace [2][4]. The company’s direct customers include well-known PCB manufacturers such as Shenghong Technology, Shennan Circuits, Hushu Electronics, Shengyi Electronics, Xingsen Technology, and Yueya Semiconductor, while its end customers cover leading server and optical module enterprises such as Inspur Information, Sugon, H3C, and Zhongji Xuchuang [2][4].

The founder team has a strong background: JIANGQI HE (He Jiangqi) and QIANG YUAN (Yuan Qiang) are both U.S. citizens. He Jiangqi previously worked at Huawei North America Research Institute, and served as a manager and chief engineer of the High-Speed Interconnection Core Technology Department at Intel, with strong technical background and industry resources [4]. This team background provides strong endorsement for the target company’s technical barriers.

Despite the promising track prospects of the target company, its financial situation is worrying. According to public data, Yongqiang Technology recorded operating revenue of 70.04 million yuan and a net loss attributable to shareholders of 37.83 million yuan in 2023; in 2024, operating revenue increased to 110 million yuan, but the net loss expanded to 44.41 million yuan; from January to September 2025, operating revenue further rose to 139 million yuan, while the net loss still reached 31.69 million yuan [1][4]. The company’s asset-liability ratio climbed from 51.51% in 2023 to 60.59% in 2025, with increasing financial pressure. This means the target company has recorded consecutive losses over 2 years and 3 quarters, with cumulative losses of approximately 114 million yuan. Upon completion of the acquisition, it will directly drag down the listed company’s performance.

Yanjiang Co., Ltd. showed a typical ‘roller coaster’ trend today: it opened at 17.77 yuan, approaching the limit-up price, then quickly fell to a low of 14.09 yuan, with an amplitude of up to 24.9%, and rose strongly in the afternoon to close at the limit-up price of 17.78 yuan. The full-day turnover rate was 34.02%, with a turnover of 1.279 billion yuan and a trading volume of 76.71 million shares, ranking 5th in terms of gain among all A-shares [3][6]. Such a high turnover rate indicates extremely fierce long-short game in the market, with full exchange of chips.

From the moving average system, the current stock price of 17.78 yuan is significantly higher than the 20-day moving average of 14.15 yuan (a deviation of +25.7%), the 50-day moving average of 12.22 yuan (a deviation of +45.5%), and the 200-day moving average of 8.26 yuan (a deviation of +115%) [0]. Although the moving average system shows a bullish arrangement, the stock price has severely deviated from the medium- and long-term moving averages, indicating significant technical correction risks. Oscillators such as RSI have entered the overbought zone, creating short-term adjustment pressure.

From the momentum indicators, the cumulative gain in the past 30 trading days reached 53.94%, and the 52-week gain was as high as 234.21%. The stock price hit a new high since listing, with extremely strong momentum [0]. However, this rapid rise has also accumulated a large number of profit-taking orders. Once market sentiment shifts, the correction amplitude may be relatively sharp.

According to Dragon and Tiger List data, institutional seats bought a total of 97.64 million yuan and sold 159 million yuan, with a net sell of 61.24 million yuan, indicating that institutional investors chose to take profits at the limit-up level [3]. The main buyers are hot money brokerage seats such as Everbright Securities Shantou Huashan Road (103 million yuan) and China Galaxy Securities Zhuji Dongwang Road (49.70 million yuan), while the main sellers are Southwest Securities Wenzhou Tangjiaqiao Road (82.52 million yuan) and Cinda Securities Wenzhou Oujiang Road (35.60 million yuan). Overall, the market saw a net capital inflow of 5.91 million yuan, indicating that retail investors and hot money are taking over from institutions as the main driving force for the rally [3].

Yanjiang Co., Ltd. was originally a supplier of surface materials for disposable hygiene products, with main products including perforated non-woven fabrics (annual capacity of 16,000 tons), PE perforated films (annual capacity of 10,600 tons), through-air bonded non-woven fabrics (annual capacity of 16,720 tons), as well as non-woven waist stickers and composite films [5]. The company’s downstream customers include global well-known hygiene product enterprises such as Kimberly-Clark, Procter & Gamble, and Hengan. Looking at historical financial data, the company’s operating revenue grew steadily from 1.230 billion yuan in 2022 to 1.485 billion yuan in 2024, and reached 1.295 billion yuan in the first three quarters of 2025, expected to hit a record high for the full year. The net profit attributable to shareholders increased from 29.38 million yuan in 2022 to 42.50 million yuan in the first three quarters of 2025, and the net profit after deducting non-recurring items also showed a continuous improvement trend, indicating that the operating quality of the company’s original business is improving.

However, the current valuation level has seriously deviated from fundamentals. According to data, the company’s current P/E (TTM) is as high as 161.79x, more than 5 times the median P/E of 30.99x for the textile industry, with a valuation deviation of 422% [1]. The P/B ratio is 4.31x, also at a relatively high level. This valuation level more reflects the market’s expectations for the company’s cross-border transformation rather than a reasonable pricing based on existing fundamentals. If there are twists and turns in the restructuring process or performance falls short of expectations, the risk of valuation regression is significant.

From the asset-liability structure, the company’s asset-liability ratio is 50.77%, with monetary funds of 217 million yuan, but short-term borrowings as high as 538 million yuan and long-term borrowings of 469 million yuan, resulting in an interest-bearing debt ratio of 36.47% [4]. The book monetary funds cannot cover short-term borrowings, showing an obvious capital gap. Promoting major asset acquisition and supporting financing under this background will further exacerbate the company’s capital pressure, and financial risks cannot be ignored.

: The current 161x P/E far exceeds the industry average. Once market sentiment shifts or restructuring expectations fail, valuation regression may lead to a sharp correction in the stock price.

: Yongqiang Technology has recorded consecutive losses over 2 years and 3 quarters, with cumulative losses of approximately 114 million yuan, and its asset-liability ratio continues to climb to 60.59%. Upon completion of the acquisition, it will directly lower the listed company’s performance.

: The company voluntarily disclosed that the cumulative gain in the 20 trading days before the suspension reached 24.64%, which may trigger an investigation into the stock price fluctuation by the China Securities Regulatory Commission (CSRC). There is a risk that the transaction may be suspended, terminated, or canceled due to suspected insider trading [2][3].

: The company’s existing monetary funds cannot cover short-term borrowings. The acquisition plus supporting financing will significantly increase capital pressure, which may affect the company’s normal operations.

: Transitioning from the traditional textile industry to the high-end semiconductor materials sector poses significant challenges to the management team’s capabilities, industry cognition, and channel resources. The effectiveness of integration is highly uncertain.

: The stock price has severely deviated from the moving averages, and the RSI has entered the overbought zone, creating relatively large short-term adjustment pressure.

: High-end copper-clad laminates benefit from the growing demand for AI computing power infrastructure construction, with broad domestic substitution space and clear industry growth prospects.

: Yongqiang Technology’s operating revenue increased from 70.04 million yuan in 2023 to 139 million yuan in the first three quarters of 2025, with rapid growth. If it can turn profitable, it will have strong growth potential.

: The founder team comes from international tech giants such as Intel and Huawei, with profound accumulation in the high-speed interconnection field, and has differentiated competitive advantages.

: The company’s own performance improved significantly in 2025, with continuous growth in net profit after deducting non-recurring items, providing certain basic support for the transformation.

A pattern of

is highly probable. The restructuring plan has just been released, market sentiment is exuberant, and retail investors have a strong willingness to chase gains, so short-term capital is expected to continue to relay. However, we need to be highly alert to sharp fluctuations caused by profit-taking, and the intraday amplitude may remain high. Key observation indicators include whether trading volume can continue to expand and whether the limit-up order is stable.

. Key catalysts to focus on include: the progress of acquisition approval, the results of the target’s audit and evaluation, the CSRC’s investigation conclusion, and the implementation of supporting financing. If the restructuring proceeds smoothly and there are no substantive obstacles in the investigation, the stock price may maintain high-level fluctuations; if insider trading is confirmed in the investigation or major adjustments are made to the restructuring plan, the stock price may correct sharply.

. If the transformation is successfully completed, Yanjiang Co., Ltd. will transform into a semiconductor materials enterprise, and its valuation logic will shift from traditional textiles to a high-tech track, with significant revaluation space. However, if integration fails or the target continues to lose money, the risk of valuation regression is extremely high. Investors need to closely monitor the progress of business synergy and performance realization after the acquisition is completed.

Type	Price (Yuan)	Description
Immediate Resistance	17.78	Limit-up price, historical high
First Resistance	18.50	Psychological integer level
Second Resistance	20.00	Psychological target of 20% limit-up
Short-Term Support	16.50	Upper edge of today’s intraday fluctuation range
Important Support	15.00	Integer level plus upper edge of the previous platform
Strong Support	14.15	20-day moving average position

The limit-up of Yanjiang Co., Ltd. this time is mainly driven by the expectation of major asset restructuring for cross-border acquisition of a semiconductor materials company. The track has switched to hot concepts such as AI computing power and high-speed communications, which is in line with current market preferences. However, risks such as the target company’s consecutive losses, the listed company’s extremely high valuation, institutional capital taking profits at the limit-up level, and potential insider trading investigation pose significant challenges to the sustainability of the stock price. From the perspective of risk-return assessment, this stock is a typical high-risk, high-return target, suitable for investors with higher risk appetite, but strict stop-loss positions must be set, and restructuring progress and regulatory dynamics must be closely monitored.

: Inertial upward movement is expected in the short term, uncertainty is high in the medium term, and the long-term trend depends on the effectiveness of M&A integration. Investors should remain rational and stay away from speculative hype that deviates from fundamentals.