Analysis of Xueqi Electric (001387) Limit-Up and Interpretation of Related Industry Trends

This analysis is based on a report from Eastmoney [1]. Xueqi Electric (001387) hit the limit-up today and entered the limit-up pool. The company mainly engages in refrigerator R&D and production [2], belonging to the household appliance industry. Combining market dynamics and industry trends, this article analyzes the reasons for the limit-up and its subsequent trend.

Xueqi Electric (001387) focuses on the R&D, production, and sales of household appliances such as refrigerators. Its products include side-by-side, four-door, and three-door refrigerators [2]. The company is committed to promoting transformation in the refrigerator manufacturing industry [2].

Xueqi Electric hit the limit-up today, possibly driven by the following factors:

1. Market Sentiment
   : Recently, the activity of small and medium-cap stocks in the A-share market has increased, with 63 stocks hitting the limit-up [1], reflecting a rise in market risk appetite.
2. Industry Trend
   : Although there is no direct positive news for the household appliance industry, the high prosperity of the electronics industry may indirectly drive the related industrial chain [7].

China Hongqiao (01378), as a leading aluminum company, has recently shown strong stock performance due to rising aluminum prices and growing demand from the AI industrial chain [4]. However, Morgan Stanley pointed out that it faces slight downward pressure in the short term [5], mainly due to expected fluctuations in aluminum prices [8].

1. Cross-industry Linkage
   : The growing demand from the AI industrial chain has driven up metal prices [6], which indirectly affects the household appliance industry (e.g., the cost of aluminum materials needed for refrigerator production).
2. Market Differentiation
   : The performance of the household appliance and metal industries has diverged, reflecting differences in investors’ preferences for different sectors.

• Xueqi Electric
  : The short-term limit-up may be driven by sentiment, and it is prone to correction when there is no fundamental support.
• China Hongqiao
  : Aluminum price fluctuations and capacity restriction policies bring uncertainty [8].

• Xueqi Electric
  : If the company launches high-end refrigerator new products or expands its market, it is expected to benefit continuously.
• China Hongqiao
  : In the long term, the growing demand from the AI industrial chain and capacity restriction policies support aluminum prices [4,6].

Xueqi Electric (001387) hit the limit-up today mainly driven by market sentiment. The company’s fundamentals are stable, but its subsequent performance needs attention. China Hongqiao (01378) has an optimistic long-term outlook, but short-term fluctuations need to be vigilant. Investors should combine their own risk preferences and view market opportunities rationally.