The stock price of Hang Zhou Iron & Steel (600126.SH) has hit another record high for two consecutive days, indicating that the stock price has significantly diverged from its fundamental value.

Hangzhou Iron & Steel (600126.SH) issued an announcement. Since January 22, 2025, the company's stock has increased by 188.36%. As of the closing on February 26, 2025, the company's stock price was 13.38 yuan, significantly deviating from the company's fundamentals. The average turnover rate in the past three trading days was 17.27%, indicating high turnover and market sentiment overheating. There is a high risk of speculation, and we urge investors to invest rationally and be cautious of investment risks. The company has noted reports regarding the deployment of DeepSeek by its subsidiary in the past. The company would like to clarify the following: the company's main business is the production and sale of steel and its rolled products, and there will be no changes in the company's core business in the short term. The business model of the company's computing power business mainly involves the purchase of hardware equipment and related software, integration, and providing leasing services to customers. It does not involve the development of core computing power technology. It is expected to account for only 0.06% of the company's total operating income in 2024, a very small percentage. The deployment of DeepSeek mentioned in the media reports refers to the installation of DeepSeek software in partner systems under the above business model. The company has no involvement in the development or application of core technologies of the DeepSeek system, and has no business dealings with Hangzhou Deep Search Artificial Intelligence Basic Technology Research Co., Ltd.