Analysis of Shengli Co., Ltd. (000407) Limit Down: Asset Restructuring Expectations and Market Sentiment Behind the Reversal After 6 Consecutive Limit Ups

Shandong Shengli Co., Ltd. (000407) mainly engages in natural gas and gas businesses [4]. At the end of October 2025, the company disclosed a major asset restructuring plan involving issuing shares and paying cash to purchase gas-related assets and raising supporting funds [3], which triggered strong market pursuit. The stock price rose by the daily limit for 6 consecutive trading days in November, with a cumulative increase of 32.52% [0]. However, on November 19, the stock suddenly hit the limit down, closing at 6.03 yuan per share, with 550,000 hands sealed on the limit-down board [1], and the main funds net sold 154 million yuan that day [2].

1. Speculation-driven Volatility
   : The sharp fluctuation in stock price is mainly driven by asset restructuring expectations rather than fundamental improvement. The company’s revenue in the first three quarters of 2025 was 3.042 billion yuan, a year-on-year decrease of 5.07% [0], indicating no significant change in fundamentals.
2. Rapid Capital Withdrawal
   : The large number of sealed orders on the limit-down day and net selling by main funds indicate that some investors chose to take profits or have doubts about the feasibility of the restructuring.
3. Sector Linkage Impact
   : The gas sector as a whole fell that day [1], which may have intensified the downward pressure on this stock.

1. High Volatility Risk
   : The stock price is dominated by speculative sentiment, with sharp short-term fluctuations; investors need to be alert to a significant price reversal.
2. Restructuring Uncertainty
   : If the asset restructuring fails to proceed smoothly, the stock price may further correct.
3. Valuation Risk
   : The company’s P/E ratio is higher than the industry average [0], so there is pressure for valuation correction.

1. Industry Policy Support
   : Natural gas, as a clean energy source, has received policy support [0]; if the restructuring is successful, the company is expected to benefit from industry growth.
2. Asset Integration Potential
   : Acquiring gas-related assets can enhance the company’s business scale and competitiveness [3].

Shengli Co., Ltd. (000407) has recently experienced sharp fluctuations in its stock price: “limit down after 6 consecutive limit ups”, with the core driver being asset restructuring expectations. Although the restructuring brings long-term growth potential, short-term stock price fluctuations are mainly dominated by speculative trading. Investors should pay attention to restructuring progress and changes in the company’s fundamentals, and cautiously respond to high volatility risks.