On November 5, 2026, shares of Pinming Technology Co., Ltd. hit the upper limit of their trading range once again, even as news emerged just the day before that the company’s controlling shareholder and actual controller is under investigation for alleged market manipulation. Data reveals that the stock price of Pinming Technology has surged over 800% in the past year.
On this notable trading day, the stock price of Pinming Technology experienced significant increases throughout the day, ultimately closing at 68.42 yuan per share, marking a rise of 19.99%.
According to a report by a domestic financial newspaper, Pinming Technology has been one of the standout stocks in the A-share market in 2025. The stock hit a low of 20.24 yuan per share in early January of that year and reached a peak of 188.75 yuan per share by December, which reflects an incomparable spike of over 800%.
On the evening of November 4, Pinming Technology published an announcement regarding the investigation involving its controlling shareholder and actual controller, Mo Xujun. The announcement noted that Mo Xujun is under investigation by the China Securities Regulatory Commission for suspected securities market manipulation. It was also mentioned that “Apart from holding the honorary chairman position at the company, Mr. Mo does not hold any other positions within the company and does not participate in its daily operations or management. This investigation is not related to the company’s operations or business activities and will not significantly affect its operations. The company’s production, operations, and financial conditions will remain normal.”
This strange juxtaposition of the actual controller facing allegations of market manipulation while the company’s stock price continues to soar has drawn considerable attention from the market.
Following the announcement on November 4 regarding the investigation of the actual controller, the stock price initially dropped by 14%. However, it quickly rebounded during trading and ultimately closed with a gain of over 2%. The following day, November 5, Pinming Technology’s shares locked in a trading limit, with a total trading volume of 187 million yuan and a market capitalization of 5.394 billion yuan.
Staff from the board office of Pinming Technology responded to inquiries from a domestic financial news outlet, stating that they were unsure whether the shares in question regarding the alleged manipulation were Pinming Technology’s. They emphasized that the price surge was a market-driven phenomenon and that the company had little control over such dynamics.
In light of these events, Liu Chunsheng, an associate professor at the Central University of Finance and Economics, commented on the implications of market manipulation. He expressed concern that such actions distort the true price of stocks, leading to misleading signals for small and medium investors, who might face property losses due to such volatility. He also highlighted the risk of disrupting normal trading order, giving rise to secondary issues like insider trading.
In China, once market manipulation is confirmed, the responsible parties face severe consequences. Initially, there are administrative penalties which can involve confiscation of illegal gains and hefty fines. If the actions are corporate in nature, the directly accountable executives could receive warnings and be fined between 500,000 to 5 million yuan. Additionally, if manipulation significantly alters trade prices or volumes, criminal charges may follow. Victims of the manipulation have the right to file lawsuits seeking damages. Furthermore, responsible individuals might face 3 to 5 years, or even lifetime bans from engaging in the securities market, preventing them from holding executive positions in listed companies or engaging in securities business.
Financial reports reveal that in 2025, Pinming Technology’s operating revenue was 437 million yuan, representing a year-on-year decline of 2.29%. However, their net profit saw a substantial increase of 48.15%, amounting to 46.637 million yuan. In the first three quarters of 2026, the company reported approximately 250 million yuan in operating revenue, a decrease of 13.17%. The net profit attributable to equity holders plummeted to around 4.05 million yuan, representing a startling year-on-year drop of 91.63%. The specific loss in profit excluding certain factors was about 5.58 million yuan.
In the same quarterly report, the company attributed the decline in performance primarily to the waning of policy benefits, industry demand pressures, a slowdown in the collection of accounts receivable, and an increase in asset impairment provisions. It was noted that the contraction in overall investment in the construction sector has weakened purchasing willingness among small and medium-sized clients, leading to decreased demand in the construction information software market and causing revenue within that sector to shrink.
Mo Xujun, who is implicated in the market manipulation allegations, reportedly transferred approximately 3.94 million shares in September 2025, realizing a cash return of around 156 million yuan. As of the end of the third quarter of 2026, Mo held about 15.81 million shares of Pinming Technology, making up 20.06% of the total equity, thus positioning him as the largest shareholder of the company. It remains unclear whether the shares involved in the alleged manipulation pertain to Pinming Technology.
Pinming Technology Co., Ltd. was established on July 11, 2011, and is headquartered in the Xihu District of Hangzhou. The company specializes in digital construction technology and product provision, with business spanning various fields including digital cost management, construction software, Building Information Modeling (BIM) software, smart construction sites, intelligent enterprises, digital regulation, artificial intelligence, and digital education.