Limit-up Analysis of Inmax Media (603598): Coexistence of Performance-driven Momentum and Capital Game

Inmax Media (603598) surged to a limit-up close on January 7, 2026, at RMB22.62, with a single-day gain of 10.02%, successfully entering the limit-up pool of the Shanghai and Shenzhen Stock Exchanges. The company currently has a market capitalization of approximately RMB60.7 billion and is part of the advertising and media industry sector [0][1].

From a technical perspective, the stock recorded a trading volume of 22.47 million shares on the day, representing a roughly 30% increase compared to the average daily volume of 17.24 million shares, with a turnover rate as high as 18.86%, indicating extremely high market participation and fierce capital game. The stock performed strongly intraday: it opened at RMB20.66, dipped to an intraday low of RMB20.62, then rallied all the way to the limit-up price of RMB22.62, demonstrating typical characteristics of a strong board seal [0][3].

: According to the Announcement on Abnormal Fluctuations in Stock Trading released by the company on January 6, 2026, the cumulative deviation of Inmax Media’s closing price gains over three consecutive trading days (December 31, 2025, January 5, 2026, and January 6, 2026) exceeded 20%, meeting the abnormal fluctuation criteria of the Shanghai and Shenzhen Stock Exchanges, and was thus included in the Dragon and Tiger List, attracting high market attention [2][3]. This institutional trigger itself constitutes an important market signal, attracting a concentrated inflow of short-term capital.

: The company’s first three quarters financial data performed impressively: operating revenue increased by 45.78% year-on-year, and net profit skyrocketed by 167.91% year-on-year, achieving a qualitative leap in performance. The EPS for Q3 alone was RMB0.02, successfully turning from loss to profit and ending the previous sustained loss situation. The performance growth was mainly driven by the turnaround of subsidiaries’ businesses and the outstanding performance of e-commerce marketing business [1][4][5]. Huajin Securities’ research report predicts that the company’s net profit attributable to parent shareholders will reach RMB64 million, RMB126 million, and RMB172 million in 2025-2027 respectively, showing a sustained growth trend [5].

: The company deeply engages in the digital marketing service sector, providing full-domain and full-link ecological marketing solutions. Against the backdrop of the rapid development of the e-commerce industry and continuous promotional activities, the company’s e-commerce marketing business has directly benefited. The marketing business related to short dramas has achieved a revenue scale of tens of millions of RMB, and the company has successfully partnered with leading consumer brands such as Yili, Midea, and HBN, demonstrating its business competitiveness [5]. Meanwhile, the company has actively laid out in the AIGC field, launching the “Jiuhe Creative” AIGC creation platform in March 2025. The number of users of “Heli Xingtui” increased by 100% in June 2025 compared to the beginning of the year, and the application of AI technology is expected to continue to enable cost reduction and efficiency improvement [5].

: The exercise rate of the first exercise period of the company’s 2024 Restricted Stock and Stock Option Incentive Plan reached as high as 82.81%, fully demonstrating the core backbone employees’ firm confidence in the company’s future development. The company’s governance structure has been continuously optimized, and measures such as the election of employee directors and the board’s unanimous approval of proposals have effectively enhanced market trust [1][4].

From the perspective of multi-cycle performance, Inmax Media presents a typical strong upward trend: a single-day limit-up gain of +10.02%, a 5-day gain of +32.28%, a monthly gain of +23.00%, and an annual gain of as high as +45.00%, significantly outperforming the market benchmark. The current stock price of RMB22.62 is close to the 52-week high of RMB24.28, with only 6.8% remaining to reach the historical high [0].

In terms of capital flow, data from the Dragon and Tiger List shows that on January 6, the main capital recorded a net inflow of RMB99.1165 million, accounting for 9.71% of the total turnover, indicating active buying by institutional investors; however, hot money recorded a net outflow of RMB85.6541 million, and retail investors recorded a net outflow of RMB13.4624 million, presenting a typical capital game pattern of “main capital buying, hot money and retail investors taking profits” [3]. This capital structure indicates that short-term speculative capital is distributing at high prices, while medium- and long-term institutional capital is choosing to accumulate at low prices.

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: Inmax Media has been in a long-term loss state historically, with a P/E ratio of -351.22x, ROE of -8.78%, and net profit margin of -0.21%, facing obvious fundamental pressure. However, with the release of dividends in the e-commerce marketing track and the turnaround of subsidiaries’ businesses, the company’s fundamentals are undergoing significant improvement. This pattern of “fundamentals improve first, stock price reacts later” provides investors with an opportunity window for left-side layout. The current stock price approaching the 52-week high reflects the market’s recognition of the performance improvement trend, but it also means that the valuation safety margin is narrowing [0][5].

: Data from the Dragon and Tiger List reveals the in-depth game among market participants. Institutional investors choose to net buy, reflecting their recognition of the company’s medium- and long-term value; hot money and retail investors choose to net sell, reflecting the motivation of short-term speculative capital to take profits at high prices. This differentiated pattern may indicate that the stock price will seek a new balance after short-term fluctuations, and investors need to closely follow subsequent capital movements [3].

: The communication services sector fell 0.48% overall on the same day, forming a sharp contrast with Inmax Media’s strong limit-up [0]. The lack of sector linkage support means that the stock’s rise relies more on its own fundamental improvement and capital driving force, rather than the overall recovery of the industry. Once market sentiment weakens or negative news emerges for the company itself, the risk of a stock price pullback will increase significantly.

: The company’s AIGC layout is accelerating, and the user scale of the “Jiuhe Creative” platform is expanding rapidly. Although the revenue contribution of the AI business is limited at present, the trend of technology enabling cost reduction and efficiency improvement is clear, and it is expected to become a new medium- and long-term growth engine for the company [5]. Investors can keep an eye on this, but should not overbet on unfulfilled expectations.

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: The company is still in a loss-making state, but its stock price has approached the 52-week high. The negative P/E ratio means that traditional valuation methods are invalid. The P/B ratio is as high as 29.07x, significantly deviating from the reasonable industry range, and the valuation lacks sufficient safety margin support. Once performance growth falls short of expectations, the stock price may face relatively large pullback pressure [0].

: Although the net profit in the first three quarters increased by 167.91% year-on-year, historical financial data shows that the company’s net profit is highly volatile, and aggressive accounting treatments have once aroused market doubts. Whether the turnaround of subsidiaries’ businesses can be sustained and whether the high growth of the e-commerce marketing business is stable both need to be verified by subsequent financial reports [0].

: The 18.86% turnover rate shows signs of loosening market chips, and the net selling pattern of hot money and retail investors indicates that short-term capital is taking profits. If there is no follow-up incremental capital to take over, the stock price may face selling pressure from “bulls turning bears” [3].

: The advertising and marketing industry is highly competitive, with a stable pattern of giants, and the living space of small and medium-sized marketing companies is squeezed. There is great uncertainty whether Inmax Media can continue to acquire high-quality customers and maintain business growth in fierce competition.

: The advertising industry is highly correlated with the macroeconomy, and enterprises generally cut capital expenditures during economic downturns. At the same time, the regulation of internet advertising is becoming stricter, which may restrict the company’s business expansion.

: The company is gradually transitioning from a loss-making state to profitability, and has achieved positive EPS in Q3 alone. If the profit trend can be sustained in subsequent quarters, it is expected to promote the reconstruction of the valuation system and provide fundamental support for the stock price [4][5].

: The domestic e-commerce industry continues to maintain high prosperity, and new formats such as live-streaming e-commerce and short video marketing are developing rapidly. As a digital marketing service provider, Inmax Media is expected to continue to benefit from the industry’s growth dividends [1][5].

: AIGC technology is developing rapidly, and the production efficiency of marketing content is expected to be greatly improved. The company has laid out in the AIGC field in advance, and the “Jiuhe Creative” platform has seen strong user growth, and its technological advantages are expected to be transformed into competitive barriers [5].

: Data from the Dragon and Tiger List shows that institutional capital is actively building positions, and Huajin Securities maintains an “Overweight” rating. The continuous attention of institutional capital may provide medium- and long-term support for the stock price [3][5].

From the perspective of risk-reward ratio, Inmax Media is a

target. In the short term, the stock price has approached the 52-week high, technical indicators are in the overbought zone, and the risk of a short-term pullback is high. In the medium term, if the fundamental improvement trend can be sustained, there is still room for the stock price to rise. Investors should focus on the upcoming 2025 annual report and 2026 Q1 report to verify the sustainability of profit improvement. In terms of the time window, if the stock price pulls back to around the 20-day moving average (approximately RMB17.57), it may provide a good medium-term layout opportunity.

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Inmax Media’s limit-up today is the result of the combined effect of multiple factors: three consecutive days of abnormal fluctuations triggering the Dragon and Tiger List, explosive growth in the first three quarters’ performance (operating revenue +45.78%, net profit +167.91%), and a net inflow of nearly RMB100 million from institutional funds. The resonance of the above factors pushed the stock price to a strong limit-up and close to the 52-week high [0][1][2][3][4][5].

However, investors need to remain cautious. The company is still in a loss-making state, and the valuation lacks a safety margin; the high turnover rate of 18.86% coupled with net selling by hot money and retail investors shows signs of short-term chip loosening; the communication services sector fell 0.48% overall, lacking sector linkage support. Technically, the stock price has deviated significantly from the 20-day moving average (approximately RMB17.57), and there is a need for pullback and consolidation.

Three scenarios can be watched for the subsequent trend: if it breaks through the previous high of RMB24.28 with increased volume, it will open up upside space to RMB25-26 (probability about 30%); if it consolidates in the high range of RMB22-24 (probability about 45%); if short-term capital taking profits triggers a pullback, it will seek support at the 20-day moving average (probability about 25%). Investors should closely monitor changes in trading volume, capital flow, and subsequent financial report performance to make rational investment decisions.

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[0] Jinling Analysis Database - Market Data, Technical Indicators, Real-time Quotes

[1] NetEase Finance - Limit-up Analysis of Inmax Media on January 5, 2026 (https://www.163.com/dy/article/KIGUH63U05568W0A.html)

[2] Xueqiu - PDF of Inmax Media’s Announcement on Abnormal Fluctuations in Stock Trading (https://stockmc.xueqiu.com/2026/603598_20260107_948U.pdf)

[3] Sohu Finance - Revealing Inmax Media’s Dragon and Tiger List (https://m.sohu.com/a/973168244_122066678)

[4] Sohu Finance - Revealing Inmax Media’s Limit-up (https://m.sohu.com/a/972621743_122066678)

[5] Eastmoney - Inmax Media Company Express (Huajin Securities) (https://pdf.dfcfw.com/pdf/H3_AP202508301736880185_1.pdf)