CCG(SH:605099) Mei Ri Jing Ji Xin Wen·2025-06-11 11:26Core Viewpoint - The stock price of Global Turf (共创草坪) surged by 91.18% from May 30 to June 10, 2025, amid rising interest in the "Soochow Super League" concept, despite the company's low revenue contribution from sports turf products [1][4]. Company Performance - As of June 11, the market value of shares held by the controlling shareholder Wang Qiangxiang and his investment firm increased by over 5 billion yuan [3]. - The company reported that its domestic sports turf revenue accounts for only about 20% of total revenue, with domestic market contributions at approximately 11% [4][10]. Stock Trading Activity - During the stock price surge, the trading turnover rate remained low, with a rate of 3.08% on June 10 and an average of 2.26% during the surge period [5]. - Wang Qiangxiang and his family hold a significant stake of 89.65% in the company, which contributes to the low trading activity as they rarely trade their shares [8]. Industry Context - China accounts for over 60% of the global artificial turf production capacity, with Global Turf being the largest producer [9][10]. - The global demand for artificial turf was 393 million square meters in 2023, with sales reaching 3.219 billion euros, projected to grow to 4.141 billion euros by 2027, reflecting a compound annual growth rate of 6.50% [9]. Production Capacity and Challenges - Global Turf has five production bases, with a total production capacity of 116 million square meters of artificial turf as of the end of 2024 [12]. - The company is facing capacity bottlenecks and is planning expansions in Vietnam and Mexico to enhance production capabilities [11][15]. Environmental Initiatives - The company has developed recyclable turf products in response to industry challenges such as environmental concerns and is positioned to benefit from tightening environmental regulations [16].