Popular Utilities (01635.HK) Heat Analysis: Earnings Growth and Equity Participation Concept Drive Stock Price Surge

Popular Utilities (01635.HK), an enterprise centered on public utilities with a layout in financial venture capital, has recently become a hot spot in the Hong Kong stock market. In its main business, gas sales account for up to 89.67%[0], and it indirectly participates in technological innovation investments by holding a 10.80% stake in Shenzhen Venture Capital[0]. Its net profit for the first three quarters of 2025 increased by 205.14% year-over-year to 520 million yuan[0], significantly exceeding market expectations. Additionally, through Shenzhen Venture Capital, it has stakes in Moore Threads (a domestic GPU firm) and Unitree Robotics (a robotics company), drawing market attention to its venture capital value[0], especially Moore Threads’ IPO expectation as an important catalyst for the stock price surge[5].

股价方面，公司年内涨幅达77.39%，1年涨幅97.41%，3年涨幅274.66%[0]，远超同期大盘表现。近期股价多次创上市新高[3]，并出现连续涨停现象[0]，显示市场情绪高涨。

1. Dual-Drive Business
   : The public utilities segment provides stable cash flow (gas business accounts for nearly 90% of revenue), while the venture capital segment, through Shenzhen Venture Capital’s layout in cutting-edge tech fields, forms dual drivers of earnings growth and valuation enhancement[0].
2. Concept Speculation Heating Up
   : Moore Threads, as a leading domestic GPU enterprise, its IPO expectation has triggered market pursuit of Popular Utilities[5]. Although the company only holds an indirect stake via Shenzhen Venture Capital, the concept’s popularity has significantly lifted the company’s valuation[0].
3. Increasing Market Attention
   : The company has been listed as an investment target by institutions such as Zhitong Finance[6] and repeatedly appeared on the East Money App Hot List[0], indicating a simultaneous increase in attention from both institutions and retail investors.

• Irrational Speculation Risk
  : The company has indicated the possibility of irrational speculation in its stock price[0]. Recent turnover has amplified to 912 million yuan[1], with a net outflow of 3.8205 million yuan in main capital[1]. Investors need to be alert to short-term correction risks.
• Uncertainty in Venture Capital Business
  : The IPO process and valuation of Moore Threads are uncertain. If the IPO is delayed or its valuation is lower than expected, it may have a negative impact on the company’s stock price[0].

• Sustained Earnings Release
  : The company’s net profit for the first three quarters grew significantly. If the fourth quarter maintains growth momentum, it is expected to further support the stock price[0].
• Value of Tech Layout
  : Other tech enterprises (such as Unitree Robotics) that the company has laid out via Shenzhen Venture Capital may bring additional benefits to the company if they have listing or financing activities in the future[0].

The popularity of Popular Utilities (01635.HK) stems from the dual drivers of earnings growth and venture capital concepts. The stability of its utility business and the growth potential of its venture capital segment complement each other, attracting widespread market attention. However, investors should note that the current stock price has already reflected some expectations, so they need to carefully assess short-term speculation risks and long-term value.