Shares of Dajin Heavy Industry Co.,Ltd. (01081) suffered a sharp reversal from recent highs today, with losses widening to more than 13% in the afternoon session, following a near 30% gain over the past month. The company's A-shares also hit the daily limit down in the afternoon. As of press time, the stock was down 13% at HK$30.12, with turnover of HK$288 million.

On the news front, Dajin Heavy Industry Co.,Ltd. derives a highly concentrated portion of its revenue from the European market. In its earlier Hong Kong IPO prospectus, the company disclosed that during the reporting period, revenue from Europe accounted for more than half of its total revenue.

Notably, media reports this morning highlighted news regarding the EU's anti-dumping and anti-subsidy measures on Chinese wind power equipment. It is understood that the EU's anti-dumping duties on Chinese wind turbine towers have been in place since December 2021 as an existing measure.

In the second quarter of this year, Dajin Heavy Industry Co.,Ltd. saw both year-on-year and quarter-on-quarter declines in performance, mainly attributed to shipping scheduling issues that prevented some offshore engineering products from being recognized as revenue in time, as well as foreign exchange losses.

JPMorgan noted in a previous research report that although downward revisions to earnings forecasts have caused the stock to fall significantly since mid-2026, the company's earnings are expected to rebound in 2027 as foreign exchange and logistics headwinds subside and European order growth reaccelerates.