Analysis Report on the Strong Performance of Zaisheng Technology (603601)

Zaisheng Technology (603601) rose strongly by 10.09% on December 9, 2025, closing at 6.33 yuan with a trading volume of 112.1 million shares, a 241% increase from the average volume [0], entering the strong stock pool. Although no clear single-day news catalyst was found [1][2][3], the stock has gained 91.82% for the full year and 28.40% since October; long-term momentum accumulation may be the main driver of this strong performance [0].

Technical analysis shows that the stock is in an uptrend (to be confirmed) and issued a buy signal on November 26 [0]; the current support level is 5.26 yuan, resistance level is 6.33 yuan (the day’s closing price), and the next target price is 6.58 yuan [0]. However, KDJ and RSI indicators show overbought conditions, indicating short-term correction pressure [0].

Fundamentally, the company belongs to the basic materials-specialty chemicals sector. The latest quarterly revenue was 327 million yuan, missing expectations by 9.23%, with EPS of 0.02 yuan [0]; valuation indicators P/E at 80.19x and P/B at 2.85x are far higher than the industry average, making valuations expensive [0]. However, liquidity indicators are good: current ratio 5.91 and quick ratio 5.35, showing strong short-term solvency [0].

1. Momentum-driven rather than event-catalyzed
   : The long-term uptrend (full-year +91.82%) and recent continuous volume expansion are the core reasons for entering the strong stock pool; no direct news event driver was found [0].
2. Technical and fundamental divergence
   : Technicals show an uptrend and buy signal, but fundamentals have missed revenue expectations and high valuations, indicating a divergence [0].
3. Liquidity support and overbought risk coexist
   : Good liquidity supports stock price increases, but overbought indicators suggest short-term correction potential [0].

1. Valuation bubble risk
   : P/E as high as 80.19x, far above the industry average, leading to significant valuation pressure [0].
2. Overbought correction risk
   : KDJ and RSI indicate overbought conditions, possibly leading to short-term corrections [0].
3. Insufficient fundamental support
   : The latest quarterly revenue missed expectations, profit growth is weak, and long-term gains lack performance support [0].
4. High volatility risk
   : Recent rapid gains and volume expansion may lead to increased stock price volatility [0].

1. Upside potential from breaking resistance
   : If it can effectively break through the 6.33 yuan resistance level, the technical target price is 6.58 yuan [0].
2. Increased market attention
   : After entering the strong stock pool, market attention further increases, which may attract more capital inflows [0].

Zaisheng Technology (603601) entered the strong stock pool on December 9, 2025, with a 10.09% gain on the day and significantly expanded trading volume. Technically, it is in an uptrend but overbought; fundamentally, valuations are high and the latest quarterly revenue missed expectations. No clear single-day catalyst was found, and it is mainly driven by long-term momentum. There is a short-term correction risk; attention should be paid to the breakthrough of the 6.33 yuan resistance level and changes in fundamental factors such as valuations and earnings.