Recently, the overall market has been weak, but the frenzy of some high-priced stocks continues.

Today, Solareast Holdings quickly rose to the daily limit after opening, achieving 14 consecutive days of increase, closing at 18.35 yuan per share, with a total market cap of 14.92 billion yuan.

In less than a month since November 1st, the stock price of Solareast Holdings has surged by over 316%, skyrocketing from 4.4 yuan to the current 18.35 yuan, and its market cap has also exceeded one billion.

Hitching a ride with Huawei.

The current surge of Solareast Holdings is partly due to the recent speculative frenzy in the A-shares market, with a series of stocks with "eastern" in their names taking turns to soar.

On the other hand, it is also because of the news of collaborating with Huawei to build ultra-fast charging stations.

On November 4, Jiangsu Lianyungang Port announced that the first solar storage integrated new energy autos super charging station in northern Jiangsu has been fully completed and put into operation.

It is reported that the annual power generation of the charging station can reach 0.6 million kilowatt hours, saving 180 tons of standard coal per year, and reducing carbon dioxide emissions by 494 tons.

The entire station's solar storage and charging system consists of a 630KVA high-voltage side transformer, a low-voltage side photovoltaic car shed, Solareast Holdings energy storage cabinets, and Huawei's liquid-cooled charging stations.

However, the value of the collaboration with Huawei's 'Liquid-cooled Super Charging Station' does not seem to be high. Because the super charging stations currently being developed in cooperation with Huawei are blooming all over the country, so achieving cooperation is not particularly rare.

On November 21st this year, Huawei's Digital Energy Intelligent Charging Network Business President Liu Dawei stated that Huawei has currently cooperated to achieve super charging station deployments in over 200 cities across the country, utilizing 21 major provincial highways. By the end of the third quarter, completion of the deployment of 0.05 million fast charging stations accounted for half of the total number of fast charging stations in the country.

Among the A-share listed companies, there are many companies that have cooperated with Huawei in the liquid-cooled super charging station business, including GCL Energy Technology, Zhejiang Yonggui Electric Equipment, Baoxin Technology, and many more.

Nevertheless, Solareast Holdings' stock price still surged due to the news of partnering with Huawei.

On November 23, solareast holdings announced that the business did not generate any revenue or income, and there is no plan for large-scale promotion. The company's products, main business, and business model have not changed, reminding investors to be cautious about the risks of speculative concepts.

Solareast holdings also pointed out that as of November 22, the company's stock closing price was 14.24 yuan, with a trailing P/E ratio of 109.23 times, significantly higher than the industry's trailing P/E ratio of 20.24 times.

In addition, the secretary of the board office of solareast holdings also stated that the above ultra-fast charging stations are currently only for internal use in the company's park, and there are currently no plans for promotion or further development of smart low-carbon parks and ultra-fast charging stations.

Q3 net income decreased by 86% year-on-year.

Data shows that solareast holdings' main business consists of three major sectors: clean energy heat application sector (air-energy hot water and heating, solar hot water and heating), clean energy electricity application sector (integrated business of distributed photovoltaic storage), and kitchen appliances sector.

In terms of performance, in the first three quarters of this year, solareast holdings achieved revenue of 3.269 billion yuan, a year-on-year decrease of 6.28%; the net income attributable to the parent company was 67.2642 million yuan, a year-on-year decrease of 60.4%.

Among them, the third quarter revenue was 1.145 billion yuan, a year-on-year decrease of 19.82%; net income was 10.6194 million yuan, a year-on-year decrease of 86.25%.

Earlier on November 15, Solareast Holdings announced that a portion of its restricted shares would be released for trading on November 20, with 6.9083 million shares being unlocked, accounting for 0.85% of the total share capital.

The restricted shares unlocked this time were part of the company's 2021 stock-based incentive plan, with a grant price of 2.22 yuan per share. Compared to today's 18.35 yuan, it has increased more than 7 times.

Subsequently, on the day the restricted shares were released for trading (November 20), Solareast Holdings' stock price opened at the limit down, then surged to hit the limit up, triggering a trading halt for the day.

Boosted by speculative frenzy and support from Huawei, Solareast Holdings' stock price has surged significantly, but its performance has been on a downward trend.

In the future, as the heat fades, solareast holdings may end up going through the same bubble bursting phase as all speculative stocks.