Comprehensive Analysis of Weizhi Holdings (01305.HK) - A Hong Kong Hot Stock

Weizhi Holdings (01305.HK) is a listed company in the Hong Kong Stock Exchange’s Industrial Parts and Equipment sector, mainly engaged in the manufacturing of LED backlights and LED lighting products, and the trading of high-tech electronic components. Its core business, automotive LED backlights, accounts for 92.3% of total LED backlight product sales [1]. On December 11, 2025, the company became a hot stock after ranking on the East Money App’s Hong Kong Stock Surge List [5]. The main reasons for its popularity include:

1. Strong growth in core business
   : In H1 2025, automotive LED backlight sales increased by 22.6% year-on-year, accounting for 89.8% of total revenue, benefiting from the continuous expansion of the new energy vehicle market and upgrades in automotive display technology (such as increased demand for high-value components like central control screens and HUDs) [1].
2. Extremely undervalued valuation
   : The price-to-earnings ratio (TTM) is only 2.660, and the price-to-book ratio is 0.147; as of December 1, 2025, the market capitalization is approximately HK$145 million, which is only one-third of its 2024 cash reserves (over HK$527 million), indicating significant potential for valuation repair [2][3].
3. Institutional cooperation intention
   : It has reached an intention with CICC Strategic Emerging Venture Capital for a capital injection of 30-50 million yuan, which will be used for technological research and development and expansion into emerging markets, boosting market confidence [3].
4. Expectations for the extraordinary general meeting
   : An extraordinary general meeting was held at 11:00 on the same day, and the market has expectations for potential strategic adjustments or major matters [4].

Price方面,当前价为0.670港元（2025-12-11 09:42更新）,与昨日收盘价持平[0];因股票成交长期稀疏,缺乏完整成交量数据支持细致技术分析[5]。Market sentiment上,关注度显著提升,投资者对低估值、业务增长及机构合作给予积极评价,但流动性风险是主要担忧点[5]。

• The core business is deeply tied to the new energy vehicle market; the growth in demand for automotive LED backlights will continue to drive performance [1].
• The huge gap between market capitalization and cash reserves (only one-third of cash reserves) highlights the possibility of valuation repair [3].
• CICC Strategic Emerging Venture Capital’s intention to inject capital not only provides financial support but also indirectly recognizes the company’s industry position in the automotive electronics field [3].
• If the extraordinary general meeting involves business structure optimization or strategic upgrading, it may become a catalyst for short-term stock price fluctuations [4].

• Risks
  : Liquidity risk (sparse trading affects buying and selling decisions) [5]; business concentration risk (reliance on the automotive LED backlight sector) [1]; strategic adjustment risk (semiconductor memory chip business revenue decreased by 99.4% year-on-year, which may affect short-term performance) [1]; uncertainty exists in the timing and magnitude of valuation repair [3].
• Opportunities
  : Sustained growth potential of the automotive LED backlight business [1]; repair opportunities brought by extremely undervalued valuation [3]; support for technological R&D and market expansion brought by institutional capital injection [3].

Weizhi Holdings (01305.HK), as a Hong Kong hot stock, has strong growth in its core automotive LED backlight business, is in an extremely undervalued valuation range, and has institutional capital injection intentions and potential impacts from the extraordinary general meeting. Investors need to closely monitor liquidity risk, business concentration risk, and uncertainty in valuation repair, while attaching importance to the opportunities from core business growth and valuation repair. This report is an objective analysis and does not constitute investment advice.