WST(SH:688122) Chang Jiang Shang Bao·2025-10-10 01:23Core Viewpoint - The concept of controlled nuclear fusion has gained significant attention following important advancements in China's fusion research, leading to a surge in stock prices for companies involved in this sector, particularly Western Superconducting Technologies Co., Ltd. (688122.SH) which experienced a 20% limit-up on the first trading day after the National Day holiday [1][4][6]. Company Performance - Since the beginning of 2025, Western Superconducting's stock has increased by 85.67%, with a current market capitalization of 50.75 billion yuan [2][7]. - The company reported a net profit of approximately 800 million yuan for 2024, reflecting a year-on-year increase of over 6%. In the first half of 2025, revenue exceeded 2.7 billion yuan, a nearly 35% year-on-year growth, with net profit reaching 546 million yuan, up nearly 57% [3][12]. Business Segments - Western Superconducting operates in three main segments: superconducting materials, high-end titanium alloy materials, and high-performance high-temperature alloy materials. All three segments have shown significant growth [3][10]. - The company is the only global producer of NbTi ingots, superconducting wires, and superconducting magnets, and is the sole supplier of low-temperature superconducting wires for the ITER project in China [3][10]. Market Dynamics - The surge in stock prices for Western Superconducting and other controlled nuclear fusion concept stocks was triggered by a key breakthrough in the BEST project, a compact fusion energy experimental device in Hefei, Anhui, which is expected to be completed by the end of 2027 [7][8]. - As of the second quarter of 2025, mutual funds have significantly increased their holdings in Western Superconducting, with a total of approximately 149 million shares held, marking a 93.92% increase from the previous quarter [8][9]. Research and Development - The company has invested significantly in R&D, with expenditures of approximately 245 million yuan, 321 million yuan, and 342 million yuan from 2022 to 2024, representing 5.80%, 7.72%, and 7.42% of sales revenue, respectively [12]. - Western Superconducting has established a strong R&D team led by experts in superconducting and rare metal materials, focusing on innovative materials and processes [11][12].