Analysis of the Strong Performance of Runfeng Co., Ltd. (301035): Driven by Both Earnings Beat and Institutional Attention

This analysis is based on relevant data from Eastmoney.com[1][2], focusing on the strong performance of Runfeng Co., Ltd. on January 20, 2026. The stock closed at RMB 78.60 on the day, with a gain of 10.72%, and entered the strong stock pool. Multi-dimensional analysis shows that this surge is not purely concept speculation, but is supported by solid earnings and fundamental drivers.

lies in the company’s 2025 annual earnings guidance, which significantly exceeded market expectations. The guidance shows that the full-year net profit reached RMB 1.03-1.17 billion, representing a substantial YoY growth of 128.85%-159.95%[1]. This performance is the fundamental driver of the stock price breakthrough, reflecting a significant improvement in the company’s operating quality and a continuous recovery in industry prosperity.

On the same day, the company received research visits from 98 institutions. Positive signals disclosed during the research further strengthened market confidence, including multiple favorable factors such as quarterly improvement in gross profit margin in 2025, a 2026 budgeted gross profit margin higher than that of 2025, and a 2026 budgeted sales revenue growth rate exceeding that of 2025[1]. Intensive institutional research often indicates that professional capital is about to enter the market, and the scale of this research confirms the market’s high attention to the company’s medium- and long-term development.

The agrochemical and veterinary medicine sector where Runfeng Co., Ltd. is located performed strongly on the day, with the sector rising 1.29%, and the glyphosate sub-sector surging 2.73%[2]. The sector effect provides a favorable market environment for individual stocks, and this coordinated rise usually indicates a systematic improvement in industry fundamentals.

From the perspective of industry structure, China’s pesticide technical capacity accounts for about 70% of the global share, with a significant competitive advantage in the pesticide industry chain[2]. As global agricultural planting demand continues to recover, the export demand for pesticides has shown an upward trend, providing a favorable external environment for domestic leading pesticide enterprises. As a leading enterprise in the industry, Runfeng Co., Ltd. can fully benefit from the improvement of industry prosperity.

The pesticide industry has strong cyclical characteristics, and its demand is closely related to factors such as agricultural product prices and climate change. Currently, global food security issues are increasingly prominent, and agricultural product prices are at a relatively high level overall, which provides strong support for pesticide demand. At the same time, the continuous improvement of industry concentration has also brought more market share and pricing power to leading enterprises.

From the capital flow data, the main capital net inflow on the day was RMB 3.074 million, the margin trading net purchase was RMB 4.347 million, and the large order net inflow was RMB 4.05 million[1][2]. The margin trading balance reached RMB 194 million, indicating the active entry of leveraged capital. The volume ratio indicator reached 4.07, indicating a significant increase in trading volume and a substantial improvement in capital participation.

Positive changes have occurred in the chip structure. The small order net outflow was RMB 8.502 million, while the large order net inflow was RMB 4.05 million. This data indicates that chips are shifting from retail investors to institutions[2]. Data on the number of shareholders shows that as of September 30, 2025, the number of shareholders of the company was 6,630, a decrease of 2.90% from the previous period, indicating a concentration of chips[1]. The top 10 tradable shareholders include 4 public funds, reflecting high institutional recognition.

However, there are also risk factors that need attention. The short selling balance was 26,400 shares, with a short selling amount of RMB 1.8741 million, indicating that there is still a certain short-selling force[2]. The volume ratio of 4.07 also indicates that short-term market sentiment may be overheated, and attention should be paid to the short-term pullback pressure brought by profit-taking.

From a valuation perspective, Runfeng Co., Ltd.'s current dynamic P/E ratio is 18.60x, which is at a reasonably low level in the pesticide industry[1]. Considering the 128%-160% YoY earnings growth in 2025, this valuation level has a good margin of safety. The net asset per share is RMB 26.01, and the current stock price corresponds to a P/B ratio of 3.02x, which is at a moderate level in the industry. The undistributed profit per share reaches RMB 16.17, indicating that the company has strong dividend potential.

Among the 45 companies in the agrochemical and veterinary medicine sector, Runfeng Co., Ltd. ranks 3rd in the industry in terms of total market capitalization, 2nd in net profit, and 3rd in ROE[1], making it a typical leading enterprise in the industry. Leading enterprises usually have scale advantages, cost advantages, and channel advantages, and can fully enjoy the dividends when the industry prosperity recovers.

From the technical trend, Runfeng Co., Ltd. showed obvious strong characteristics on the day. After the opening, it rose rapidly by 7.85% at 09:37:34[2], continued to strengthen in the afternoon, hit a 60-day high of RMB 78.80 at 14:39:49, and an upward gap appeared at 14:45:01, with a final gain of 10.80%[2]. In terms of phased gains, it rose 11.73% cumulatively in 3 days, 12.35% in 5 days, and 10.86% in 10 days, showing a continuous strong pattern.

In terms of key price levels, the immediate resistance is at the integer level of RMB 80, which has strong psychological pressure; the important resistance level is around RMB 83, which is the previous intensive trading area[2]. The short-term support is at RMB 77.77 (today’s opening price), and the important support is at RMB 74.40 (near the day’s low and the 5-day moving average).

The strong performance of Runfeng Co., Ltd. reveals several cross-domain correlations worthy of attention. First, there is a close relationship between earnings beat and institutional research - a substantial earnings growth guidance is a prerequisite for attracting intensive institutional research, and the positive signals released during the research further strengthen market confidence, forming a positive cycle. Second, changes in capital flow and optimization of chip structure mutually confirm each other - the increase in margin trading purchases, large order net inflow, decrease in the number of shareholders, and concentration of chips show a high degree of consistency, indicating that institutional capital is systematically collecting chips.

From an industry perspective, the performance of Runfeng Co., Ltd. reflects that the pesticide industry is undergoing structural changes. Leading enterprises can achieve faster performance recovery when the industry prosperity recovers by virtue of their scale advantages and cost control capabilities. At the same time, the global competitive advantage of China’s pesticide technical capacity is being repriced, and the market’s understanding of this structural advantage is deepening.

From the perspective of market behavior, the surge in stock price accompanied by research visits from 98 institutions on the same day reflects the systematic revaluation of the company’s value by institutional investors. This pattern of stock price surge after intensive institutional research often indicates the market’s recognition of the company’s medium- and long-term investment value.

The strong performance of Runfeng Co., Ltd. has a demonstration effect on the sector and the market. As an industry leader, its surge is expected to drive the valuation revaluation of the entire agrochemical and veterinary medicine sector. At the same time, the company’s inclusion in the strong stock pool will also attract more market attention, forming a positive feedback cycle of capital inflow.

: A single-day gain of more than 10% means that there may be greater profit-taking pressure in the short term. The volume ratio of 4.07 shows overheated trading, and if subsequent buying is insufficient, the stock price may pull back rapidly. In addition, the existence of short-selling forces also increases the uncertainty of short-term stock price fluctuations.

: After the high growth in 2025, the earnings growth rate in 2026 may face slowdown pressure due to the base effect. Attention also needs to be paid to the risk of equity pledges. The current total pledge ratio is 13.76%, with a total pledged share count of 38.6293 million shares[1], which may bring the risk of passive share reduction when the market fluctuates sharply.

: The cyclical characteristics of the pesticide industry mean that the company’s performance is highly correlated with factors such as agricultural product prices and climate change. If global agricultural product prices fall or extreme climate leads to reduced planting, it may have a negative impact on the company’s performance.

: The company’s positive 2026 earnings guidance provides a solid fundamental support for the stock price if revenue growth and gross profit margin continue to improve. The multi-regional growth strategy disclosed during the research also provides diversified sources of earnings growth for the company[1].

: If glyphosate prices continue to rise, it will directly increase the company’s profits. As one of the world’s largest glyphosate producers and exporters, Runfeng Co., Ltd. is expected to fully benefit from the increase in product prices.

: The continuous improvement of pesticide industry concentration means that leading enterprises can further expand their market share and enhance their industry voice through mergers and acquisitions. As an industry leader, Runfeng Co., Ltd. is expected to continue to benefit from this process.

From a time dimension analysis,

is to pay attention to the expected correction market that may occur before the official release of the annual report (usually in March-April 2026); is to track the 2026 Q1 report data to verify the sustainability of the earnings guidance; is on the industry development trend and the company’s strategic implementation.

Runfeng Co., Ltd. (301035) performed strongly on January 20, 2026, closing at RMB 78.60 with a gain of 10.72%, and entered the strong stock pool. On the same day, the company received research visits from 98 institutions. The 2025 annual earnings guidance shows that the net profit was RMB 1.03-1.17 billion, representing a YoY growth of 128.85%-159.95%, which provides solid earnings support for the stock price surge. As a leading enterprise in the agrochemical and veterinary medicine industry, Runfeng Co., Ltd. ranks among the top in the industry in terms of total market capitalization, net profit, and ROE, with a dynamic P/E ratio of 18.60x providing a good margin of safety. Capital flow data shows an increase in margin trading purchases, active entry of institutional capital, and concentration of chips. However, excessive short-term gains, earnings base effect, and industry cyclicality are risk factors that need attention. The key resistance level is in the range of RMB 80-83, and the support level is in the range of RMB 74-78. In the medium term, investors can continue to track and pay attention to the stock based on earnings growth expectations and industry prosperity.

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[1] Eastmoney.com - Runfeng Co., Ltd. Individual Stock Page

[2] Eastmoney.com - Runfeng Co., Ltd. Concept Sector Page