FINANCE

Unitree Warns of Valuation Risks After Shares Surge More Than 65%

Published: Oct. 27, 2026 3:48 a.m. GMT+8

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Unitree Robotics debuted on Aug. 19 this year, opening at 1,100 yuan per share. Photo: VCG

Chinese humanoid robot maker Unitree Robotics warned investors of valuation risks after its shares surged more than 65% over seven trading days, buoyed by a double upgrade from J.P. Morgan and optimism about physical artificial intelligence.

The rally marks a partial recovery from a steep post-listing decline, even as the company trades at a valuation far above its industry average and faces hurdles to commercializing humanoid robots.

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Unitree Robotics shares surged over 65% in seven sessions after J.P. Morgan double-upgraded it to overweight with a 995-yuan target.
The company warned of valuation risk: trailing P/E hit 465.2 versus 38.5 industry average, citing early-stage commercialization challenges.
Institutional seats sold 816 million yuan while top buyers purchased 249 million; a lock-up expiry in August 2027 may pressure shares.

AI generated, for reference only

Who’s Who

Unitree Robotics: Unitree Robotics, a Chinese humanoid robot maker listed on Shanghai's STAR Market, saw shares surge over 65% after a J.P. Morgan double upgrade, but warned investors of valuation risks due to a high P/E ratio (465.2) and early-stage commercialization challenges. Founder Wang Xingxing noted production of tens of thousands of robots annually, with potential industry demand reaching 10 million units.

J.P. Morgan: Based on the article, J.P. Morgan upgraded Unitree Robotics two notches (from "underweight" to "overweight") on Oct. 25, raising its December 2027 price target to 995 yuan. The upgrade followed the World Physical AI Conference. However, J.P. Morgan Securities (China) also recorded institutional selling during a limit-up session on Oct. 23, indicating some profit-taking alongside the positive outlook.

China International Capital Corp.: According to the article, China International Capital Corp. (中金公司) was associated with one of the major selling seats during Unitree Robotics' recent stock surge. It was among the five largest selling seats that sold 816 million yuan worth of shares on Monday, contributing to the selling pressure amid the company's rally.

Goldman Sachs: According to the article, Goldman Sachs was associated with major selling seats during the trading of Unitree Robotics shares. Specifically, alongside China International Capital Corp. and GF Securities, Goldman Sachs was listed among the major selling seats during the recent stock surge, while institutional purchases were also recorded.

GF Securities: According to the article, GF Securities was associated with one of the major selling seats during Unitree Robotics' stock rally. Along with China International Capital Corp. and Goldman Sachs, GF Securities was listed among the top sellers, contributing to substantial selling pressure despite institutional purchases.

J.P. Morgan Securities (China): According to the article, J.P. Morgan Securities (China) was an institutional seller of Unitree Robotics shares during the Oct. 23 limit-up session, with selling recorded through one of its trading seats. Separately, the parent firm J.P. Morgan upgraded Unitree to "overweight" on Oct. 25, but that action is attributed to the broader institution.

DeepSeek: DeepSeek is an AI startup mentioned as a Unitree Robotics shareholder. It committed to a 36-month lock-up period for its pre-IPO holdings, longer than the typical 12-month lock-up for most strategic investors, which could pressure Unitree's stock in August 2027 if earnings fall short.

AI generated, for reference only

What Happened When

Oct. 25, 2026：: J.P. Morgan upgraded Unitree two notches from "underweight" to "overweight" and raised December 2027 price target to 995 yuan, following the 2026 World Physical AI Conference in Hangzhou.

Oct. 26, 2026：: Unitree shares gained 7.7%, reaching intraday high of 737.5 yuan ($110); trading value of 7.47 billion yuan and turnover rate of 37.7%; after-hours filing warned of abnormal volatility with cumulative price deviation of 30.5% over three trading days; trailing P/E ratio reached 465.2; two institutional seats recorded net purchases of 249 million yuan, five largest selling seats sold 816 million yuan; major selling seats associated with China International Capital Corp., Goldman Sachs, and GF Securities.