Inovance Technology is the absolute leader in A-share platform-based industrial control. It is known as Huawei in the industrial control industry. It shows strong development potential with its two-wheel drive of industrial automation and new energy electric drive.
Its current stock price is 70.21 yuan, with a total market value of 190 billion yuan. It is a benchmark enterprise in the four tracks of industrial control, new energy vehicles, robots, and digital energy.
In China, Inovance Technology’s general servo and low-voltage inverter market share has topped the list for many years in a row, breaking the long-term monopoly of foreign investors such as Yaskawa and Siemens.
It has built four core product matrices: industrial automation, new energy vehicle electric drives, industrial robots, and energy storage, and has self-developed underlying core technologies in power electronics, motor control, and industrial software.
At the same time, it has tied up with leading lithium photovoltaic manufacturing companies, leading car companies, automation equipment manufacturers, energy storage operators, etc.
Benefiting from manufacturing equipment updates, comprehensive domestic substitution of industrial controls, iteration of 800V vehicle-mounted electric drives, increased volume of humanoid robot servo, and explosion in demand for energy storage converters, traditional industrial control has established a solid cash flow base. High-margin robot servo and vehicle-mounted high-voltage electric drives have realized the premium in high-end manufacturing valuations, with steady performance growth and continued revaluation of leading values.
Many institutions have predicted Inovance Technology’s performance in the next three years.
The institutional average shows that the net profit attributable to the parent company in 2026 will be 4.203 billion yuan, corresponding to a PE of 45.2 times; the net profit attributable to the parent company in 2027 will be 5.663 billion yuan, corresponding to a PE of 33.5 times; the net profit attributable to the parent company in 2028 will be 7.102 billion yuan, corresponding to a PE of 26.8 times.
Based on the current total market value of 190 billion yuan, the agency gives a valuation range of 42-48 years for high-end industrial manufacturing in 2026, with a target price range of 79.65-88.32 yuan.
In terms of new products and business progress, the dual main business capacity expansion and optimization have achieved remarkable results.
High-end industrial control servo production capacity is delivered at full capacity, and general servo’s domestic market share ranks first among domestic investments. High-end lithium battery and photovoltaic equipment special controllers are shipped in batches and tied to leading manufacturing companies. With the support of manufacturing upgrading and upgrading policies, the main industrial control business has grown steadily.
The volume of 800V high-voltage vehicle-mounted electric drive assemblies is increasing, and mass production of new energy passenger car high-voltage platform electric drives and vehicle-mounted power systems has been launched. The leading advantages of third-party electric drives are highlighted. It has penetrated into the supply chain of leading independent car companies, and the automotive business has sufficient flexibility for growth.
Humanoid robot joint servo samples have been sent for verification, and self-developed humanoid high-precision servo drives and joint motors have completed the verification of head robot manufacturers. The robot business has entered the third growth curve, and the valuation flexibility is full.
There are rich plans for the implementation of core new products.
High-end servo system + industrial PLC is the core industrial control component of intelligent manufacturing. Domestic capital has an absolute monopoly. It is a high-margin core asset and a core growth engine for performance.
The high-voltage electric drive assembly of new energy vehicles is a standard product of the 800V vehicle platform. As a third-party supporting leader, it is the core pillar of mid- to long-term valuation.
The humanoid robot joint servo module is a core component that is urgently needed for humanoid robots. It is looking forward to a prosperous track and has a promising growth potential.
The energy storage converter PCS system is an industrial and commercial + grid energy storage supporting equipment. The downstream demand is increasing rapidly, creating a second chassis for the energy business.
General frequency converter + elevator industrial control package is a traditional industrial supporting product with extremely stable cash flow, smoothing R&D and industry cycle pressures.
In terms of long-term business layout planning, Inovance Technology is sitting on the triple barriers of self-research on underlying power electronics, leading share in the industrial control industry, and multi-track platform layout, and has built an integrated high-end industrial control platform for industrial automation-vehicle electric drive-humanoid robot-energy storage.
Seize the five major dividends of manufacturing equipment updates, ceding shares of foreign-owned industrial controls, comprehensive domestic substitution of industrial controls, high-voltage iteration of new energy vehicles, and industrialization of humanoid robots, shrink low-margin general industrial control low-end production capacity, increase the proportion of high value-added businesses such as robot servo and high-voltage vehicle electric drives, weaken the traditional industrial cycle attributes, superimpose the dual technological innovation valuation of intelligent manufacturing + new energy vehicles, complete the transformation of a single industrial control manufacturer into a multi-track platform high-end manufacturing leader, and secure the absolute leading position in the domestic industrial control field.
However, Inovance Technology also faces some core risks.
The decline in manufacturing investment prosperity may lead to a fall in downstream procurement demand for industrial industrial control and automation equipment; price reductions by foreign industrial control giants such as Siemens and Yaskawa will intensify competition in the high-end industrial control industry; shortages of power semiconductors and precision chip core components and price increases will squeeze product profit margins; humanoid robots and vehicle-mounted electronic controls
Technology is rapidly iterating, and there are risks of technology iteration in existing products; leading car companies and robot manufacturers have long new product verification cycles, and large orders are delayed; R&D investment in servo modules and vehicle-mounted high-voltage electronic controls is high, and short-term expenses suppress net profits; prices of mid- and low-end general-purpose inverters are inflated, and the profitability of basic industrial control businesses continues to be under pressure.
