China Spacesat Co., Ltd. – A Year‑End Surge Amid a Commercial‑Aerospace Rally

China Spacesat Co., Ltd. (stock code 600118) closed the 2025 trading year at a record high of 96.05 CNY on 29 December, after a 106.19 % rise from 3 December. The 2025‑year‑end performance reflected a broader, sector‑specific boom that lifted the Shanghai Composite, the Science & Technology Innovation Index and the Shenzhen Component Index, while the market’s overall sentiment remained cautiously upbeat.

1. Market‑wide context

The Shanghai Composite finished 2025 at an 18.41 % gain, closing at 3 968.84 points on 31 December. The Science & Technology Innovation Index surged 49.57 %, while the Shenzhen Component Index climbed 29.87 %. This backdrop of strong equity performance set the stage for a late‑month rally that was particularly pronounced in the commercial‑aerospace space.

During the day, the overall share count of stocks that closed at their limit‑up price reached 63, while 13 stocks hit limit‑down. The limit‑up ratio of 70.79 % (63/89) underscored the intensity of the rally.

2. Commercial‑aerospace as the catalyst

The commercial‑aerospace sector, a subset of the broader “space” theme, drove a 2 % rise in the Tongdaxin Commercial Aerospace Index, setting a new historical high. The surge began on 24 November and continued through the month, culminating in a series of limit‑ups for the sector’s leading names:

  • China Spacesat (600118) – 10 % jump to the limit‑up price.
  • China Satcom (601698) – 10 % jump.
  • China Space‑Tech (600345) – 10 % jump.
  • Aerospace Electronic (600879) – 10 % jump.

The satellite‑industry exchange‑traded fund (ETF 159206) rose 5.52 % on 31 December, with its core constituents, including China Spacesat, posting limit‑ups. In parallel, the aerospace‑and‑aerospace‑equipment ETF (159241) climbed 2.58 %, reflecting strong flows into the sector.

The Shanghai‑Stock‑Exchange risk‑warning bulletin on 29 December highlighted that the 2025‑year‑end surge for China Spacesat was “risk‑laden” due to the high short‑term volatility and the fact that the company had not experienced any fundamental changes. Nonetheless, the board and its directors affirmed the authenticity of the information in the bulletin.

3. Trading volumes and capital flows

The day’s total turnover for the Shanghai and Shenzhen markets reached 2.05 trillion CNY. Among the biggest‑trading stocks were Three‑Flower Smart Control (224.73 CNY bn), Space Development (179.32 bn), China Spacesat (135.79 bn), Space Electronics (127.07 bn) and China Satcom (139.44 bn). The satellite‑related trades contributed a substantial portion of this figure.

Notably, the satellite ETF (159206) attracted net inflows of over 32 bn CNY in the preceding 20 days. Within the same period, the 500‑ETF (512050) achieved a turnover exceeding 120 bn CNY, indicating that policy support and capital flows were jointly propelling the market upward.

4. Company fundamentals

China Spacesat is a Beijing‑based industrial enterprise listed on the Shanghai Stock Exchange. Its core business lies in the design, manufacture and sale of satellites and satellite‑related products. The company also operates in the hospitality and tourism sectors through retail stores, hotels and travel properties. As of 30 December 2025, its closing share price was 94.95 CNY, and its 52‑week high had just been surpassed. The market capitalization stood at approximately 112 billion CNY, while its price‑earnings ratio was 2 320, reflecting the high valuation multiples typical of the sector.

The company’s IPO occurred on 22 July 1997. Its website, www.spacesat.com.cn , offers detailed product and corporate information for investors and partners alike.

5. Outlook

The sustained enthusiasm for commercial‑space enterprises, coupled with robust capital inflows, suggests that the sector is poised to maintain its upward trajectory into 2026. China Spacesat’s recent limit‑up performance, while indicative of short‑term volatility, aligns with a broader trend of investor confidence in satellite and aerospace technologies. Investors will likely continue to monitor risk‑warning notices and the company’s quarterly disclosures for any material changes that could impact valuation.

In summary, China Spacesat’s remarkable closing price on 29 December underscores the potency of the commercial‑aerospace rally that dominated the 2025 market’s final trading week. The company’s fundamentals, sector momentum, and investor enthusiasm combine to create a compelling, albeit volatile, investment narrative.