Dazhong Public Utilities (01635.HK) Hot Stock Analysis: Market Performance Driven by Both Earnings Improvement and Robotaxi Concept

Dazhong Public Utilities (01635.HK) is a Shanghai-based integrated public utilities service provider, with businesses covering urban gas, sewage treatment, public transportation, and other infrastructure sectors, and it is actively laying out new intelligent transportation businesses [0]. In 2025, the company performed strongly, with its stock price rising approximately 95.38% for the year, and a 52-week price range of HK$1.63-HK$4.95 [0]. The main driving factors include:

1. Earnings Improvement
   : The 2025 third-quarter report shows year-on-year growth in revenue and net profit, with a significant improvement in operating cash flow [0];
2. Robotaxi Concept Catalysis
   : In July, due to relevant policy expectations, the stock price rose by more than 7% at most in a single day [7];
3. Optimization of Controlling Shareholder’s Share Structure
   : In November 2025, the controlling shareholder Shanghai Dazhong Enterprise Management Co., Ltd. released a pledge of 60 million A-shares, reducing the pledge ratio to 33.44% [1][4];
4. Favor from Southbound Funds
   : The Hong Kong Stock Connect shareholding ratio is as high as 67.94% [3];
5. Increased Margin Trading Activity
   : The margin purchase amount reached 442 million yuan on November 27, with a margin trading and securities lending balance of 1.067 billion yuan [2].

• Dual Business Drivers
  : Traditional public utilities (gas, sewage treatment, environmental protection) and new intelligent transportation businesses form synergy [0];
• Positive Liquidity Signals
  : The high proportion of southbound funds and large margin purchases reflect market confidence [2][3];
• Risk Mitigation
  : The release of the controlling shareholder’s pledge reduces potential equity pledge risks [1][4].

• Opportunities
  : Implementation of Robotaxi industry policies, stable growth of the public utilities sector, and continuous inflow of southbound funds [0][7];
• Risks
  : Robotaxi business progress falling short of expectations, changes in public utilities price regulation policies, and macroeconomic fluctuations [0].

As of November 24, 2025, Dazhong Public Utilities (01635.HK) has a stock price of HK$3.81, a market capitalization of HK$22.6 billion, and a dividend yield of 0.98% [5]. As a dual-listed company (A-share code: 600635), it has performed actively in the Hong Kong stock market and has appeared in Hong Kong Stock Connect capital flow statistics multiple times [0][3].