Traditional lighting: How to break through the stock price haze under performance growth?

In the capital market, there are often some puzzling phenomena. The traditional lighting industry is like this, although many companies have performed well, their stocks have fallen instead of rising, and there are many underlying reasons behind this.

 The traditional lighting market is saturated and growth is limited. In recent years, the traditional lighting market has gradually entered a mature stage, with increasing market saturation. With the widespread popularity of LED technology, the service life of lighting products has been significantly extended, resulting in a slow growth in market demand for replacement of new lighting fixtures. Taking home lighting as an example, in the past, households may have needed to replace lighting fixtures every few years, but now the long lifespan of LED lighting fixtures has greatly extended the replacement cycle. From a macro data perspective, the growth rate of the domestic LED general lighting market has been declining year by year, and the reduction of the existing market has brought huge challenges to traditional lighting enterprises. In such a market environment, even if companies improve their short-term performance through price reductions and promotions, investors still hold a pessimistic attitude towards their future growth potential, which makes it difficult for stock prices to rise.

 Technological bottlenecks constrain and lack innovation drive. After years of development, traditional lighting technology is now approaching the technological ceiling. For example, traditional LED heat dissipation technologies, such as aluminum substrate heat dissipation, have limited thermal conductivity due to insulation layers, resulting in problems such as short lamp bead life, low light efficiency, and rapid light decay, which have always been difficult to fundamentally solve. In terms of luminescence technology, although direct luminescence has high brightness and low cost, it has defects such as high glare, small illumination range, and four corner dark areas; Although the side emitting technology has good uniformity, it has low light efficiency, insufficient brightness, and poor heat dissipation. These technological defects not only affect the user experience of the product, but also limit the further development of the industry. Due to the stagnation of technological innovation, traditional lighting companies find it difficult to launch breakthrough new products and attract new consumer demands, gradually losing their advantage in market competition. Investors lack confidence in the future development prospects of companies lacking technological innovation, which is also reflected in stock prices.

 The rise of emerging technologies has impacted traditional lighting. Emerging sub sectors such as intelligence and health are rapidly developing, representing the future direction of the lighting industry. In contrast, traditional lighting companies are relatively lagging behind in their layout in these emerging fields, and their market share is constantly being eroded by emerging technology companies. For example, some emerging smart lighting brands have quickly emerged in the market with their advanced technology and innovative marketing models, while traditional lighting companies are at a disadvantage in competition due to difficulties in transformation. Investors are more inclined to invest in companies with layout and development potential in emerging technology fields, and traditional lighting companies' stocks are therefore neglected.

 The traditional lighting industry is facing multiple challenges such as market saturation, technological bottlenecks, and the impact of emerging technologies, which are the main reasons why its performance is good but its stocks are declining instead of rising. As an innovative and forward-looking technology, photonegative ion technology is expected to become the key to breaking through the traditional lighting industry. For traditional lighting companies, actively embracing new technologies and accelerating the pace of transformation and upgrading is the only way to stand out in fierce market competition and achieve stock price recovery.