Analysis of the Strong Performance of Tietuo Machinery (920706): Cleared Regulatory Inspection Plus Strategic Layout of High-End Machine Tools

This analysis is based on Eastmoney Dragon and Tiger List data [1], CFi.net Investor Relations Activity Records [3], and Sohu Finance Inspection Report Announcement [2]. Tietuo Machinery (920706) showed a strong upward trend for two consecutive trading days from January 15 to 16, 2026. On January 15, it closed at 26.47 yuan, surging 6.01%; on January 16, it even hit the daily limit, closing at 29.16 yuan with a 10.16% increase, a turnover rate as high as 34.91%, and a transaction volume of 432 million yuan [1]. As a result, the company made it onto the Dragon and Tiger List and entered the strong stock pool, attracting widespread market attention.

Zhongtai Securities Co., Ltd. conducted a 2025 annual regular on-site inspection of the company from December 25 to 26, 2025, covering corporate governance, internal control, changes in controlling shareholders’ shareholdings, independence, information disclosure, use of raised funds, large fund transactions, related party transactions, performance, fulfillment of commitments, and implementation of cash dividend systems [2]. The announcement shows that the company complies with relevant regulatory requirements in all the above aspects, and no major issues were found. After the inspection results were officially announced on January 15, 2026, the stock price surged 6.01% on the same day, indicating that the market had certain concerns about the regulatory inspection previously, and the worries were relieved after the inspection passed.

The company released an overseas investment plan to establish a subsidiary “Tuozhi Intelligent Control” focusing on high-precision five-axis CNC machine tools. According to the investor relations activity records, the company stated that it will rely on the mature management system of the listed company and the technical and market support of partners to realize the industrialized production of high-precision five-axis CNC machine tools, focusing on the processing of complex structural parts, precision components, and the manufacturing demand for high-precision tooling and core components in the semiconductor field [3]. This investment plan aligns with the direction of national industrial policies - policies such as the “Catalogue for the Guidance of Industrial Restructuring (2024 Edition)” and the “Notice on the VAT Additional Deduction Policy for Industrial Machine Tool Enterprises” all support the high-end CNC machine tool industry [3]. This strategic layout fits the current market’s speculation logic around the “industrial machine tool” and “semiconductor equipment” hotspots.

On January 14, 2026, the company received on-site research from institutional investors such as Guotai Haitong Securities and Shenwan Hongyuan Research [3], indicating that institutional attention is increasing. At the same time, there was a large net inflow of main capital - on January 15, the net inflow of main capital was 60.003 million yuan, accounting for 27.22% of the total transaction volume [4]. The large influx of capital provided direct momentum for the stock price rise, and the Dragon and Tiger List data also confirmed the buying behavior of institutional seats [1].

From the technical chart analysis, Tietuo Machinery formed a pattern of two consecutive large bullish candlesticks on January 15 and 16, and even hit the daily limit on January 16. The key price ranges are as follows: opening price 26.4 yuan, highest price 31.66 yuan (a recent new high), lowest price 26.3 yuan, closing price 29.16 yuan [1]. The transaction volume surged from about 100 million yuan on January 14 to 432 million yuan, an increase of more than 4 times, indicating a large amount of incremental capital entering the market.

It is worth noting that the extremely high turnover rate of 34.91% is a double-edged sword. On one hand, it shows extremely high market participation and sufficient chip turnover; on the other hand, it means there are many short-term profit-taking positions, leading to strong profit-taking pressure. After consecutive sharp rises, the stock price has obviously deviated from the short-term moving average, and there is a technical need for a pullback and consolidation. From a trend perspective, the previous high of 31.66 yuan will become an important short-term resistance level, while the range of 26.4 yuan to 26.47 yuan forms the first support zone.

Fujian Tietuo Machinery Co., Ltd. is located in Quanzhou, with its main business being the R&D, production, sales and service of asphalt mixture mixing equipment and supporting equipment [3]. According to 2024 data, the main business structure includes: 49.14% for virgin asphalt mixture mixing equipment, 30.86% for integrated virgin and recycled mixing equipment, 13.97% for plant-mixed hot recycling equipment for asphalt mixtures, etc. [6]. The company has been designated by the General Administration of Customs of China as a “Sample Enterprise for China’s Foreign Trade Export Leading Index”, and its products have long been deeply rooted in international markets such as Russia, Thailand, and Indonesia [3].

It should be noted that the company’s performance declined in the first three quarters of 2025: it achieved operating revenue of 302 million yuan, a year-on-year decrease of 13.80%; net profit attributable to parent company was 42.084 million yuan, a year-on-year decrease of 5.67% [6]. The performance decline is related to the infrastructure investment cycle, and the industry development is significantly affected by the macroeconomic environment. In addition, the company was listed on the Beijing Stock Exchange on March 8, 2024, belonging to the category of sub-new stocks, and has accumulated cash dividends of 41.5824 million yuan since listing [6].

In terms of R&D, the company has mastered a number of cutting-edge technologies in the industry, such as countercurrent high-efficiency energy-saving heating, continuous online calibration metering, twin-shaft forced two-stage stepped continuous mixing, multi-tube foam warm mixing, etc. [3]. As one of the few asphalt mixing equipment providers in the industry that master technical solutions suitable for various complex application scenarios at home and abroad, the company has certain advantages in customization capabilities.

Cai Jianliang, a major shareholder, reduced his holdings by 359,500 shares from December 22, 2025 to January 16, 2026, with his shareholding ratio dropping from 10.39% to 10.00%, and plans to continue reducing his holdings by no more than 1.05 million shares (accounting for about 1.14% of the company’s total share capital), with the share reduction price range of 18.46-31.21 yuan per share [5]. The current stock price is close to the upper limit of the share reduction price range, so it is necessary to pay attention to the continuous impact of subsequent share reduction behaviors on the stock price.

Although the stock price has risen sharply in the short term, the fundamental support is relatively limited - both revenue and net profit declined in the first three quarters of 2025, the newly established high-end CNC machine tool subsidiary is still in the initial stage, and its performance contribution needs time to be verified. The margin trading balance is 24.8155 million yuan, accounting for 1.33% of the tradable market value, which is at the 90th percentile high in the past year [6], indicating a high degree of leveraged capital participation, which increases the risk of stock price volatility.

Social media platforms such as Eastmoney Stock Bar show that there is certain divergence in investor sentiment. Some investors said “we were all lured in by research reports”, while others regretted “riding the concept bandwagon” [1]. It is necessary to be vigilant against the risk of theme speculation. Sub-new stocks usually have large fluctuations, and investors need to remain rational.

The core driving factors for this round of rise can be summarized into three points: First, the “negative news fully priced in” effect of regulatory inspection, which eliminated the market’s concerns about the company’s compliance; Second, the strategic layout of high-end CNC machine tools fits the market hotspots, providing imagination space; Third, institutional research and main capital inflow form capital side coordination.

Comprehensive assessment from various dimensions: Fundamental support is weak (performance decline, new business has not yet contributed), capital shows inflow but turnover rate is too high, technical side has short-term overbuying leading to pullback demand, market sentiment is high but divergent. In the short term (1-2 weeks), it faces profit-taking pressure, coupled with shareholder reduction and performance decline factors, sustainability remains to be seen. In the medium term (1-3 months), it is necessary to focus on the substantive progress of the high-end CNC machine tool subsidiary, the full-year performance, and the capital acceptance after the stock price pullback and consolidation.

[0] Jinling Analysis Database

[1] Eastmoney - Tietuo Machinery Dragon and Tiger List Data (01-16)

[2] Sohu - Tietuo Machinery Discloses 2025 Annual Regular On-Site Inspection Report

[3] CFi.net - Tietuo Machinery Investor Relations Activity Record

[4] Stockstar - Net Inflow of Main Capital for Tietuo Machinery on January 15

[5] CFi.net - Tietuo Machinery Simplified Equity Change Report

[6] Sina Finance - Tietuo Machinery Received Margin Buying on January 13