An important shareholder, Siwei Tuxin, is in no hurry to reduce its holdings. Youjiao Innovation (02431) “locks in” long-term capital with high financial fundamentals

In the complex game of the secondary market, factors affecting stock price trends include not only the fundamentals of listed companies and future growth expectations, but also short-term eventual effects or mood swings. Needless to say, sometimes disturbances can cause market noise and even cause stock price fluctuations, but looking at the market from a long-term perspective, the real value anchor has always been deeply rooted in corporate fundamentals and future growth prospects. Therefore, the low stock price hit by a “bad” event may instead be a “golden pit”. This is a valuable opportunity to strategically open positions.

Zhitong Finance noticed that on December 29, 2025, Youjiao Innovation (02431), which completed one year after the Hong Kong stock listing, ushered in the lifting of the restricted stock ban. Prior to that, this high-growth company, which had achieved rich and substantial results in the field of intelligent driving, had unconventional fluctuations in its stock price due to expectations of the lifting of the ban. The author believes that given that Youjiao Innovation is a scarce smart driving potential stock, and that many of the company's businesses coincide with a period of strategic breakthroughs, the recent stock price fluctuations of Youjiao Innovation are clearly out of the realm of rationality.

Moreover, according to the news, Siwei Tuxin (002405.SZ), an important shareholder of Youjia Innovation, stated to the outside world that as a deep partner and important shareholder of Youjia Innovation, they are optimistic about their long-term investment value and development potential, and are in no hurry to reduce their stock holdings. In response, Meng Qingxin, senior vice president, board secretary and CMO of Siweituxin, said, “We fully trust Youjiao's solid fundamentals of innovation and the potential for continued growth. In the future, we will continue to cooperate deeply with Youjiao Innovation in cutting-edge technology research and development and global market expansion to achieve the long-term value of smart driving tracks.”

In the context of an industry where commercialization continues to accelerate and competition among enterprises remains intense, unlike short-term capital in the secondary market, the important shareholders of Youjia Innovation have firmly chosen to “cover up shares”. The strength of this long-term shareholding probably stems from all parties being strongly optimistic about the future of Yujia Innovation. With a glimpse, the much-appreciated innovation of Youjiao naturally deserves a serious re-examination of its investment value by investors.

Smart driving potential stocks that have passed the “big test” of listing and continue to realize their potential

The recent year 2025 is bound to be an extraordinary year for the smart driving industry. This year, the “smart driving equals” narrative became popular throughout the automotive industry, and the industry accelerated its journey into a new era where intelligent driving was fully popularized. However, at the same time, a new knockout round has begun, and not long ago, a smart driving unicorn backed by a leading car company was suddenly revealed to be suspended.

From when capital was popular until the industry is gradually calming down, changes in the smart driving industry have revealed that today, enterprises must establish a stable balance between technology implementation, cost control, and a closed loop of business, and continuously strengthen their ability to make their own hematopoiesis, so that they can overcome the cycle of fluctuation and win the end. Looking back at Youjia Innovation, as a veteran of the industry, the company successfully entered the capital market at the end of 2024. This itself can be seen as a “big test” of how Youjia Innovation successfully passed the capital market setup with its solid fundamentals and strong growth expectations. After all, among smart driving companies, being able to stay on the market is actually proof that they have sufficient strength. Not to mention that Youjiao Innovation can also be accepted and successfully listed in the picky capital market.

After passing the “big test” of listing, Youjiao Innovation was once popular with market capital as a scarce smart driving model. In the first few months of the company's listing, the stock price of Youjia Innovation successfully doubled compared to the issue price. The underlying logic behind the high performance was that Youjia, as one of the few companies in the capital market that simultaneously laid out L2 front-end equipment and L4 autonomous driving, successfully verified the viability of a “gradual” to “leapfrog” growth path, and the long-term development prospects were recognized by the market. The trend of changes in the core financial data of Youjia Innovation is also strong evidence that the company continues to realize its potential. From 2022 to 2024, the annual revenue of Youjia Innovation grew rapidly at a compound annual growth rate of more than 50%. In the first half of last year, Youcar Innovation's revenue surged 46% to 346 million yuan, continuing the rapid growth trend.

Against the backdrop of the overall tightening of the industry's financing environment and many enterprises facing survival challenges, Youjiao Innovation has completed two strategic financings with the advantage of the listing platform, which has provided sufficient ammunition for its subsequent R&D efforts and market expansion. Admittedly, investors showed irrational sell-offs some time ago due to the near lifting of the ban, but in the author's opinion, the lifting of the ban did not change the growth undertone of Youcha Innovation, let alone that company executives and important shareholders, Siweituxin also chose to extend the ban period. All signs indicate that Yujia Innovation, which has been thrown out of the “golden pit,” is likely to be seriously underestimated.

A comprehensive breakthrough in the business, and a sharp rise in fundamental “gold content”

Standing on the first anniversary of the launch of Youjiao Innovation, looking back at the company's progress over the past year, it is easy to find that this pioneering smart driving company has achieved breakthroughs on various core tracks such as ADAS, DMS, OMS, and vehicle-road collaboration, relying on “algorithm+software+hardware” integrated capabilities and platform-based development systems.

For example, in the field of front-end equipment, Youjiao's innovative “circle of friends” continues to expand. As of June 30, 2025, Youjiao Innovation has been mass-produced by 42 automakers, covering mainstream and joint venture brands such as SAIC Motor and Changan. Furthermore, Yuchao's solutions have also been adopted by many automakers in various export models, with target markets covering the European Union, Australia, Mexico, etc.; and through cooperation with international Tier 1 companies, Youjia has also successfully entered the supply chain of international automakers.

Youjiao's innovative influence is steadily expanding, which is closely linked to the continuous iterative upgrading of the company's front-end products. In the case of smart driving products, in the first half of 2025, Youcha will intensively launch intelligent driving solutions such as iPilot 4 Plus and iPilot 4 Max to match the market's rapidly growing new demand for mid-level intelligent driving with high-quality supply. With strong product strength, the Youjia iPilot series has also recently received orders for a number of major models under a leading independent brand.

As an important part of the smart cockpit solution, which can not only significantly improve driving safety and comfort, but also cooperate with intelligent driving solutions and enhance overall efficiency, Yujiao Innovation is also progressing rapidly in this field. Also in the first half of last year, Youjia released the smart cockpit DMS all-in-one iCabin Lite product, and launched the large cockpit model “Smart Butler BamBam” to upgrade the personalized and scenario-based functional experience. Previously, the company's cockpit business was targeted by world-renowned car companies, and the total order amount for the entire life cycle was approximately RMB 320 million.

As the entire automobile industry accelerates its development towards advanced assisted driving, Youchao's innovation is also anchored in continuous strength at the L4 level. Since last year, Youjiao's L4 business potential has been rapidly unleashed. The company first landed the first unmanned minibus project in Suzhou in February 2025. Since then, it has successively won major orders such as Ezhou Huahu Airport and the Tongxiang Vehicle Road Cloud Integrated Traffic Sensing Project in the second half of the year, and was officially designated as a vehicle for use at the World Internet Conference to provide connectivity services for participants. Coincidentally, Youjia also launched the unmanned logistics brand Xiaozhu in September of last year, and debuted two models, the T5 and T8. By the end of November last year, orders for Kotake unmanned vehicles had reached 1,400 units.

The potential of Youjiao Innovation's L4 business was first revealed. In the first half of 2025 alone, the business contributed more than 10 million dollars in revenue, and the volume trend has already begun. As you can imagine, the L4 business is expected to become a new growth pole for Youcha in the near future. This also means that in addition to traditional advantageous businesses, new perspectives on the fundamentals of Youjiao's innovation are still constantly emerging, and the company's growth momentum should not be underestimated.

The industry has had a long and heavy snowfall, and the return of value is on the cusp

The intelligent driving industry is developing in an orderly manner under the alternation of ice and fire, and as the time gradually matures, policy winds have taken hold. In the middle of this month, the Ministry of Industry and Information Technology officially announced the entry permits for China's first batch of L3 conditional autonomous driving models. The approved vehicles will be tested on the road in designated areas in Beijing and Chongqing. This marks China's L3 autonomous driving officially moving from the testing stage to commercial application.

From an industry perspective, under the boundary between ODD and speed in the limited operation design domain, L3 is expected to take the lead in replicating and promoting high-speed, closed or semi-enclosed scenarios, and accumulate regulations, data, and operational experience for urban NOA and higher-level autonomous driving. Perception, computing power, and system integration requirements have increased significantly, thus driving the value of bicycles in all areas to continue to rise.

2026 is expected to be the first year of L3/L4 autonomous driving. In this process, companies with L4 advanced technology research and development capabilities and massive L2 front-end data accumulation are expected to stand out. With its full-stack self-developed platform-based system, Youjiao Innovation can not only release advanced algorithms and safety redundancy experience verified by L4 to L3 solutions, but also use complex operating condition data collected by large-scale mass production L2 models for backfeed model optimization, thus laying a solid foundation for large-scale mass production of L3 in a closed loop of technology and data.

What needs to be clarified is that when it comes to Youchao Innovation, the favorable policy is more than that. According to the draft for comments on mandatory national standards related to smart driving safety issued by the Ministry of Industry and Information Technology in September, the focus is on “driver condition monitoring,” which indicates that the DMS solution that Youjiao has been innovating for many years may become a “mandatory industry standard” in the future.

In the smart driving and smart cockpit industry, we have successfully developed a unique driving innovation from “progressive” to “leapfrog” growth path. Naturally, future growth visibility and growth flexibility are worth looking forward to. Seen from this point of view, it is not difficult to understand that Siwei Tuxinhui, as an important shareholder of Youjia, chose to continue “covering up stocks.”

In fact, the scarce investment value of Yujiao Innovation is indeed being exploited by more smart capital. Recently, Hang Seng Index Company included Youjiao Innovation in the “Hang Seng Hong Kong Stock Connect Electronic Theme Index”. As an important weather vane in the market, the Hang Seng Index is included in the above indices, and its pointing significance also deserves investors' attention.

As the policy presses the “acceleration key” for the development of the industry, Yubao's innovation, which has already built up L1-L4 full-dimensional technical capabilities ahead of time and achieved deep collaboration between smart driving and cockpit business, has reached a critical stage where value is urgently needed.

Admittedly, short-term event disturbances and emotional effects have had a certain impact on the stock price of Yuchao Innovation, but this is a rare opportunity for investors who have been watching for a long time and want to share the dividends of the smart driving industry development. Looking forward to the future, under the resonance of policy dividends and market catalysts, it is probably only a matter of time before the stock price operation center of Youjia Innovation returns to a reasonable level, and now it may be a valuable window for the layout to fall.