Injoinic (688209) Strong Stock Analysis: Volume-Driven Breakout of a Chip Stock

Injoinic’s strong performance today is characterized first by volume expanding in sync with price. Data shows that the trading volume reached 365,800 hands on the day, with a volume ratio of 3.21, meaning the trading volume was more than 3 times the recent average level[0]. This volume expansion forms a good coordination with the stock price increase, indicating that incremental capital has entered the market to drive the stock price breakout. The turnover reached RMB 908 million, with a turnover rate of 8.43% which is at a relatively high level, showing that sufficient chip exchange has taken place at the current price level[0].

From the perspective of capital behavior, a price increase with expanded volume usually means that market attention to the stock has risen sharply in the short term. Combined with the 17.31% amplitude, the long-short game on the day was relatively fierce, but the bulls ultimately took the upper hand, pushing the stock price to close with a high increase. This volume-price coordination pattern is usually regarded as a healthy bullish signal in technical analysis[0].

The company held its first extraordinary general meeting of 2026 and released a resolution announcement on January 10, 2026. In early January, the company also responded to investors’ concerns through the SSE E-Interaction Platform[0]. This public information shows that the company’s governance structure is stable, and there are no major undisclosed negative matters recently, providing basic support for market sentiment. In the current market environment, active communication between listed companies and investors helps maintain stock price stability.

From a fundamental perspective, Injoinic’s Q3 2025 financial data performed impressively, providing solid fundamental support for the stock price[0]. Specifically, the company achieved operating revenue of RMB 1.169 billion, a year-on-year increase of 14.16% and a month-on-month increase of 18.12%, showing continuous expansion of business scale. More notably, the net profit reached RMB 114 million, a year-on-year increase of 28.54% and a substantial month-on-month increase of 93.71%[0]. This data indicates that the company’s profitability is undergoing significant improvement.

In terms of gross profit margin, the company maintained a relatively high level of 33.68%, reflecting a certain degree of product pricing power and competitive advantages in the segmented field of power management chips[0]. For semiconductor design enterprises, the gross profit margin is directly related to the enterprise’s technical barriers and product differentiation. Injoinic’s gross profit margin performance indicates that its products have certain market competitiveness.

From a technical analysis perspective, Injoinic’s performance today shows the typical characteristic of synchronized volume and price increases. The trading volume expanded by more than 3 times combined with a single-day increase of 12.24%, a combination that is usually interpreted as a signal of active capital entry in the technical analysis framework[0]. It is worth noting that the relative strength index shows that the stock’s performance on the day was significantly stronger than the market average, but the 17.31% amplitude also reveals the existence of intraday long-short divergence.

The turnover rate of 8.43% indicates that sufficient chip exchange took place on the day, meaning that buyers and sellers reached a certain degree of consensus at this price level. However, the inherent volatile nature of STAR Market stocks requires investors to remain vigilant against short-term violent fluctuations[0].

From a pattern analysis perspective, the stock price broke through the upper edge of the short-term consolidation platform today. If this breakout pattern can be continuously verified by subsequent volume, it is expected to launch a new round of upward trend[0]. Conversely, if volume shrinks tomorrow, it is necessary to be vigilant against the risk of a false breakout.

In terms of key price levels: the short-term resistance level is in the range of RMB 26.00-26.30, which corresponds to today’s high, and is expected to be converted into support after a breakout; the short-term support level is in the range of RMB 24.50-25.00, corresponding to the starting point of today’s rise; the strong support level is in the range of RMB 23.00-24.00, which is the upper edge of the previous consolidation platform[0].

Injoinic’s main business focuses on the R&D and sales of power management chips and fast charging protocol chips, and it occupies a dominant position in the segmented field of consumer electronics power management[0]. With the continuous improvement of battery life requirements for smart mobile devices, the importance of power management chips has become increasingly prominent, and the company’s business positioning is in line with the development direction of market demand.

From the perspective of downstream application scenarios, the company’s products are widely used in multiple consumer electronics segmented fields such as power banks, fast charging power adapters, wireless chargers, car chargers, and charging cases for TWS earphones[0]. This diversified application layout helps to diversify the risks of a single market, while sharing the growth dividends brought by the overall recovery of the consumer electronics industry.

The company’s end brand customers cover well-known domestic consumer electronics manufacturers such as Xiaomi and OPPO[0]. Being able to enter the supply chain system of these top brands is itself an endorsement of Injoinic’s product technology level and quality stability. High-quality customer resources not only bring stable order sources, but also form a positive cycle for the company’s brand building and market expansion.

From the perspective of product competitiveness, Injoinic’s chip products feature high integration, high customizability, and high cost performance[0]. Against the backdrop of domestic chip substitution, these product features help the company gain more market share in competition with overseas competitors.

The consumer electronics industry is showing a recovery trend after undergoing periodic adjustments. The continuous increase in the penetration rate of fast charging technology has brought incremental demand to the power management chip market. The track Injoinic is in benefits from these two major trends, and its medium-term development logic is relatively clear[0]. However, investors also need to pay attention to the transmission impact of cyclical fluctuations in the consumer electronics industry on downstream demand.

From the perspective of valuation indicators, Injoinic’s current dynamic price-to-earnings ratio (PE) is 71.69x, which is at a medium-to-high level in the semiconductor design industry[0]. The price-to-book ratio (PB) is 5.15x, which is within the reasonable range of the STAR Market. A high valuation level means that the market has high expectations for the company’s future growth, and the stock price has reflected relatively optimistic growth expectations.

The potential risk brought by this valuation level is that once the company’s earnings growth rate falls short of market expectations, or the overall market risk appetite declines, high-valued stocks may face pressure of valuation compression[0].

First, the risk of valuation correction. The 71x dynamic PE means that the current stock price has fully priced in optimistic expectations. If subsequent earnings cannot maintain high growth, the valuation may face downward adjustment pressure[0].

Second, the risk of the volatile nature of the STAR Market. STAR Market stocks are generally highly volatile, and today’s 17.31% amplitude fully reflects this characteristic. For investors with low risk appetite, such short-term fluctuations may be difficult to bear[0].

Third, the risk of consumer electronics cycles. The company’s downstream demand is highly correlated with the prosperity of the consumer electronics industry. If the overall industry demand slows down, it will directly affect the company’s order and revenue growth[0].

Fourth, the risk of sustainability of volume. Today’s volume ratio reached 3.21x, which is an abnormally high volume level. It is necessary to closely monitor whether the volume can maintain a relatively high level in the future. If the volume shrinks sharply, it is necessary to be vigilant against the risk of stock price correction[0].

In terms of short-term momentum, Injoinic’s performance today shows strong upward inertia. The volume-price coordination pattern is relatively healthy, but investors need to closely monitor whether the volume can continue to follow up tomorrow. If the volume remains at a relatively high level, the short-term upward momentum is expected to continue; if the volume shrinks rapidly, it is necessary to guard against the risk of correction caused by profit-taking[0].

From a medium-term perspective, Injoinic has a relatively clear growth logic. The performance of nearly 94% month-on-month increase in net profit in Q3 2025 provides solid fundamental support for the stock price[0]. The industry trends of downstream consumer electronics industry recovery combined with the increase in fast charging penetration provide a good external environment for the company’s business growth. The accumulation of high-quality customer resources and the maintenance of product competitiveness constitute the internal driving force for the company’s medium-to-long-term development.

Based on the above analysis, Injoinic’s strong performance today is the result of the combined effect of volume-driven and earnings-supported factors. The stock price may still rise in the short term, but considering the high valuation, the volatile nature of the STAR Market, and the uncertainty of volume sustainability, investors need to maintain a cautious attitude when participating, and set a reasonable stop-loss level to control risks[0].

: The fundamental reason for Injoinic’s volume-driven surge today is the entry of incremental capital combined with solid fundamentals. The impressive data of nearly 94% month-on-month increase in net profit in Q3 2025 provides fundamental support for the stock price, while the volume coordination with trading volume expanded by more than 3 times constitutes the direct catalyst for the stock price increase. However, the 71x dynamic PE is relatively high in the semiconductor design industry, and the market has priced in relatively optimistic growth expectations. Investors need to pay attention to risk factors such as subsequent volume changes, earnings fulfillment, and cyclical fluctuations in the consumer electronics industry.