Daya(1609) Technology Breakthroughs Drive Stock Price Rally, Drone and Power Grid Projects Support Growth Expectations

Technological Innovation Becomes the Core Driving Force

Day-A recently achieved a major breakthrough in the online cable materials field. Its self-developed “Superconducting Hot Copper Coated Aluminum Wire (TD-CCAW)” has been granted a patent for invention. Compared to traditional materials, this technology offers significant lightweight advantages, high thermal conductivity, and longer endurance, successfully integrated into mass production processes and gaining market recognition. This technological innovation opens new opportunities for Day-A in the drone industry.

Collaborations with industry leaders such as Thunder Tiger(8033) and Zhongguang Electric(5371) have officially commenced, with the three parties jointly positioning themselves in the global drone market. Notably, the military-grade drone project for the Ministry of National Defense is expected to reach a scale of over 50 billion yuan, with the order growth potential for related supply chain companies not to be underestimated. Day-A’s TD-CCAW technology can significantly extend drone hover time, becoming a key factor in competitive success.

Policy Incentives Drive Power Grid Construction Demand

Beyond the drone market, Taipower’s resilient power grid plan has also become another important revenue source for Day-A. Upgrades to substations, reinforcement of transmission and distribution lines, and the introduction of smart grids are underway, leading to increased demand for high-voltage cable products.

Demand for 345kV and 161kV high-voltage cables remains strong, with orders for 2025 already fully booked, maintaining high utilization of production lines. The expansion of AI applications further accelerates the need for power grid construction, forming the core logic of medium- to long-term deployment. The overall electrical wire and cable sector benefits, with stocks such as Rongxing(1617), Heji(1618), and Huarong(1608) rising in tandem.

Financial Support Reinforces Investment Confidence

In the first half of the year, Day-A reported revenue of 15.144 billion yuan, a 5.56% increase compared to the same period last year, indicating stable growth momentum. Institutional investors, supported by the outlook of two major projects, have consistently given buy ratings. Recent stock performance reflects market recognition of the fundamentals, with a cumulative increase of 3.58% over the past five days.

Market capital flow also confirms this trend. After a short-term correction in the AI server sector, some funds have shifted toward the energy sector, which has been consolidating for a long time, accelerating the rebound of power grid concept stocks. The cable index surged over 2% in a single day, clearly outperforming the broader market.

Outlook and Risk Reminder

Looking ahead, with its autonomous technological advantages and policy support, Day-A’s revenue growth momentum remains relatively stable. Emerging industries such as drones and low-earth orbit satellites represent long-term industry development trends, and Day-A’s technological deployment aligns with this direction. However, investors should remain cautious about short-term chasing risks, carefully balancing risk and reward, and closely monitor order progress and capacity utilization changes.