Comprehensive Analysis Report on the Strong Performance of Deyi Cultural & Creative (300640)

Deyi Cultural & Creative (300640) entered the strong stock pool on December 9, 2025, and performed strongly that day. Analysis shows that its strength is mainly driven by technical momentum breakout and a significant increase in trading volume: On December 9, the stock broke through key resistance levels, MACD and moving averages formed a bullish arrangement, and the KDJ indicator showed a bullish signal [0]; the trading volume that day reached 102.21 million shares, an increase of more than 3 times compared to the average trading volume of the previous 9 trading days [0]. In addition, the signal that the Hui’an Multi-Strategy Hybrid A Fund included it in its holdings may also have affected market sentiment [1].

Although the short-term technical performance is positive, the stock has obvious hidden concerns in its fundamentals: The TTM P/E ratio is as high as 229.57 times, far higher than the industry average [0]; the controlling shareholder and chairman Wu Tifang plans to reduce his holdings by no more than 2% of the shares between December 26, 2025 and March 25, 2026 [2]; the non-recurring net profit in the third quarter of 2025 decreased by 36.68% year-on-year, and the net cash flow from operating activities was negative [2]. These factors may put pressure on the long-term performance of the stock.

: 1. Overvaluation risk: The current P/E ratio is far higher than the industry average, and there is a risk of correction [0]; 2. Shareholder share reduction plan: The chairman’s share reduction may put pressure on the stock price [2]; 3. Unstable profitability: Non-recurring net profit declined significantly in the third quarter, and profit quality needs to be improved [2]; 4. Technical overbought risk: The RSI indicator shows overbought [0].

: The short-term technical side shows an upward trend; if it can break through the resistance level of the December 9 high of $9.66, it may further challenge the medium-term target of $10.13 [0].

The strong performance of Deyi Cultural & Creative (300640) on December 9, 2025 is mainly driven by technical momentum and short-term capital inflows, but there is insufficient fundamental support. In the short term, attention should be paid to the support level of $7.87 and the resistance level of $9.66 [0], while being alert to the risks brought by shareholder share reduction and overvaluation.