Many people were confused: The artificial intelligence sector clearly has legitimate leaders like Huasheng Tianchen, Tuowei Information, and Industrial Fullwon, yet when annual reports came out, four major foreign institutions—Morgan, Goldman Sachs, Barclays, and UBS—surprisingly all newly entered the top ten circulation shareholders of an obscure AI concept stock, only to have the major shareholder precisely reduce holdings and cash out. It's truly unexpected.

By reviewing annual report data, it's clear that among companies with disclosed annual reports, Shuhua Sports is the only A-share company that was simultaneously newly entered into the top ten circulation shareholders by all four international investment banks at the same time.

However, from a fundamental perspective, this company is unremarkable: net profits have declined overall over the past five years, revenue growth is lackluster, and although it carries popular concepts like artificial intelligence, HarmonyOS, Huawei, and cross-strait relations, compared to mainstream AI core targets, it can only be considered an obscure fringe variety with significantly lower recognition.

What's even more dramatic is that foreign capital just entered in Q4, and the major shareholder immediately reduced holdings. From December last year to now, in less than three months, the major shareholder has reduced holdings three consecutive times to cash out—essentially treating foreign capital as a direct "takeover party."

This scene also taught the market a lesson: never blindly worship foreign capital. In the A-share market, no matter how prestigious foreign capital is, in the eyes of industrial capital, it's merely an institutional investor with larger fund volume. When the reduction window arrives, major shareholders' reduction actions won't show any mercy.

Looking at the entire market ecosystem, industrial capital is the apex predator in the financial food chain, with information advantages and pricing power far superior to ordinary institutions and retail investors. Following trends, only looking at shareholder lists without examining fundamentals and reduction risks, ultimately makes it easy to become an object of being harvested. $ETH