Executive Summary
Key takeaways from Joyoung’s recent stock performance and market dynamics:
– Joyoung Co., Ltd. (九阳股份) experienced a rare stock limit up driven by the viral Hakimi meme, despite company clarifications that it wasn’t involved.
– The company has faced four consecutive years of declining revenue and profits, with its stock price dropping over 75% from its peak.
– Diversification efforts into cleaning appliances failed, leading to recent divestments and management changes.
– Core soybean milk maker business is losing market share to competitors and being displaced by multi-functional appliances.
– This incident underscores how memes drive stock price movements in modern markets, but sustainable growth requires addressing fundamental weaknesses.
The Unexpected Stock Rally
A bizarre abstract狂欢 (abstract狂欢) in Chinese social media circles recently propelled Joyoung Co., Ltd. (九阳股份) into the capital market spotlight. A viral meme centered around Hakimi南北豆浆 (Hakimi North-South Soy Milk) sparked a buying frenzy among Generation Z consumers, leading to product sell-outs within days. On November 13, Joyoung’s stock price surged straight to limit up, closing at 11.06 yuan with a 10.05% gain—marking its first涨停 (limit up) in nearly a year. This phenomenon demonstrates how memes drive stock price action in today’s interconnected digital economy.
The company’s board secretary immediately issued clarifications, stating Joyoung had not launched any Hakimi-related products and that its focus remains on kitchen appliances. However, the market’s enthusiasm proved unstoppable, with the stock achieving another limit up the following day, with封板金额 (sealed board amount) reaching 209 million yuan. This two-day rally highlighted the powerful, if irrational, influence of internet trends on equity valuations. The incident serves as a case study in how memes drive stock price movements, often disconnected from corporate fundamentals.
Origin and Spread of the Hakimi Meme
The Hakimi梗 (meme) originated from Japanese anime The蜂蜜之歌 (Honey Song) in赛马娘 (Pretty Derby), where Hakimi and南北绿豆 (North-South Mung Beans) represent phonetic interpretations of Japanese lyrics. The catchy melody spawned countless creative adaptations on Bilibili (B站), with users remixing it with popular Chinese songs from邓丽君 (Teresa Teng) to陶喆 (David Tao). These viral videos accumulated millions of views, eventually catching the attention of Joyoung Soymilk (九阳豆浆), which quickly capitalized by launching Hakimi南北绿豆浆 (Hakimi North-South Mung Bean Soy Milk).
Social media platforms amplified the trend through AI-generated parody commercials and直播间 (live stream) integrations where hosts danced to the infectious tune. The product sold out within 48 hours of launch, demonstrating the commercial potential of internet culture. However, this success belonged to Joyoung Soymilk, not Joyoung Co., Ltd. (九阳股份), creating a classic case of mistaken identity in the markets. The episode illustrates how memes drive stock price appreciation through brand association, regardless of actual corporate involvement.
Market Reaction and Corporate Clarifications
Despite Joyoung Co., Ltd. (九阳股份) issuing explicit denials of involvement with Hakimi products, retail investors continued buying the stock, pushing it to unusual heights. The company’s board secretary emphasized that Joyoung focuses exclusively on kitchen appliances and holds no stake in food and beverage operations. This clarification failed to dampen enthusiasm, revealing the disconnect between viral trends and rational investment decision-making.
Historical connections between the two entities fueled speculation. Joyoung Soymilk (九阳豆浆) was originally a wholly-owned subsidiary of Joyoung Co., Ltd. (九阳股份) before being spun off in 2023. Founder Wang Xuning (王旭宁) maintains control of both companies through complex ownership structures. Additionally, Joyoung Co., Ltd. (九阳股份) transferred valuable patents and trademark rights to Joyoung Soymilk during the separation, creating lingering financial ties. These relationships, though legally distinct, provided enough connection for traders to justify the rally, showing how memes drive stock price based on perception rather than reality.
Historical Context and Financial Decline
Joyoung’s current predicament contrasts sharply with its pioneering past. In 1994, founder Wang Xuning (王旭宁) invented the world’s first top-mounted motor soybean milk machine, creating an entirely new small appliance category. By 1999, Joyoung held national patents and sold 400,000 units annually, achieving 120 million yuan in output value. The company dominated the market, reaching 80% share by 2007 with annual sales exceeding 5 million units.
Following its 2008 listing on the Shenzhen Stock Exchange (深圳证券交易所), Joyoung’s market capitalization surpassed 13.8 billion yuan, making Wang Xuning (王旭宁) a billionaire. The company joined美的 (Midea) and苏泊尔 (Supor) as one of China’s kitchen appliance giants. Revenue peaked at 11.224 billion yuan in 2020, but this proved the company’s last moment of glory. Since then, Joyoung has experienced four consecutive years of declining performance, with revenue falling from 10.54 billion yuan in 2021 to 8.849 billion in 2024, while net profits collapsed from 940 million to 122 million yuan over the same period.
From Market Leader to Struggling Giant
Joyoung’s decline reflects broader challenges in China’s small appliance sector. According to AVC (奥维云网) data, while China’s small appliance market exceeded 450 billion yuan in 2024, growth rates plummeted from 25% in 2020 to just 6.2%. Even government stimulus programs like以旧换新 (replace old with new) failed to benefit Joyoung significantly, with the company continuing to lose ground despite industry-wide recovery efforts.
The stock market has punished this underperformance mercilessly. From its 2020 peak, Joyoung’s share price has declined over 75%, erasing approximately 25 billion yuan in market capitalization. The recent meme-driven rally provided temporary relief but failed to reverse the long-term downward trajectory. This pattern demonstrates that while memes drive stock price in the short term, they cannot overcome structural business challenges without fundamental improvements.
The Patent Expiration Crisis
Joyoung’s core vulnerability emerged in 2022 when its critical无网研磨 (mesh-free grinding) patent expired. Competitors like美的 (Midea) immediately flooded the market with cheaper alternatives, triggering brutal price wars. By 2024, AVC data showed Midea had captured 41% of the soybean milk maker market, surpassing Joyoung’s 38%—a stunning reversal for the former category king.
Simultaneously, multipurpose破壁机 (high-speed blenders) began cannibalizing the soybean milk maker market. These devices offer broader functionality at continuously declining prices, making single-purpose appliances like soybean milk makers increasingly obsolete. Shenwan Hongyuan Securities (申港证券) research indicates soybean milk maker sales have been declining at over 20% annually since 2015-2018. This category shrinkage has trapped Joyoung in a deteriorating core business, making diversification essential for survival.
Failed Diversification Strategies
Recognizing the limitations of its flagship product, Joyoung began pursuing diversification as early as 2015, announcing ambitions to transform from九阳=豆浆机 (Joyoung = Soybean Milk Maker) to九阳=品质生活小家电 (Joyoung = Quality Life Small Appliances). However, execution has proven challenging. Beyond空气炸锅 (air fryers), where Joyoung holds 15% market share ranking third, the company has failed to achieve top-five positions in other key categories like电饭煲 (rice cookers) and净水器 (water purifiers).
The most significant diversification attempt came through cleaning appliances. In 2018, Joyoung acquired 51% of Shark China’s operations to enter the vacuum cleaner market. As performance deteriorated post-2021, this segment received increased strategic emphasis. In 2022, the company introduced洗地机 (floor washing machines) and recruited former Dyson executive Guo Lang (郭浪) as general manager in December 2022, offering nearly 5 million yuan annually—substantially above the chairman’s compensation.
The Cleaning Appliance Gamble
Under Guo Lang’s (郭浪) leadership, cleaning appliances became a core strategic focus. Joyoung invested heavily, acquiring 68.45% of深圳甲壳虫智能 (Shenzhen Beetle Smart) for 126 million yuan in late 2023 to enter the competitive扫地机器人 (robot vacuum) segment. Initially, results appeared promising—the cleaning division grew 58% year-over-year in 2024, accounting for 12% of total revenue and becoming the company’s fastest-growing business unit.
However, this growth came at a cost. Beetle Smart, despite generating 72.618 million yuan in revenue during first-half 2024 (versus 28.508 million for full-year 2023), continued reporting losses of 23.74 million yuan. Facing established competitors like科沃斯 (Ecovacs) and石头科技 (Roborock), Joyoung struggled to achieve profitability. In November 2024, barely a year after the acquisition, Joyoung announced plans to sell its Beetle Smart stake for 169 million yuan, acknowledging the failed expansion. This episode shows that even well-funded diversification cannot guarantee success in saturated markets.
Management Turmoil and Strategic Uncertainty
Joyoung’s executive suite has experienced significant instability amid these challenges. Former general manager Yang Ningning (杨宁宁) presided over declining performance from 2019-2022 before becoming chairman in December 2022. His replacement, Guo Lang (郭浪), saw his compensation reduced to 2.8 million yuan in 2024 before resigning in May 2024. Finance director Kan Jiangang (阚建刚) currently serves as acting general manager, leaving leadership uncertain.
This management churn reflects deeper strategic confusion. Without clear direction, Joyoung has struggled to articulate a compelling vision beyond its legacy business. The company’s inability to execute successful diversification while defending its core market position has left investors questioning its long-term viability. The recent meme-driven stock surge provided temporary distraction but no substantive solution to these structural issues.
Broader Market Challenges
Joyoung’s struggles mirror industry-wide headwinds affecting China’s small appliance manufacturers. Market maturity, product homogenization, and intense competition have compressed margins across the sector. Industry insiders note that kitchen appliances have become largely undifferentiated, with consumers displaying尝鲜型需求 (novelty-seeking behavior) rather than brand loyalty. This environment makes sustained growth exceptionally difficult.
The soybean milk maker category itself faces existential threats. Multipurpose appliances like破壁机 (high-speed blenders) and料理机 (food processors) now incorporate soybean milk functionality alongside dozens of other features. Consumers increasingly prefer these versatile devices, rendering single-purpose soybean milk makers redundant. As one industry report noted, soybean milk makers are becoming橱柜博物馆 (cabinet museum) exhibits—occasionally used novelties rather than daily necessities.
Consumer Preferences and Technological Disruption
Modern Chinese consumers, particularly younger demographics, prioritize convenience and multifunctionality.破壁机 (High-speed blenders) can prepare soybean milk, smoothies, soups, and even baby food with minimal cleanup, outperforming traditional soybean milk makers in both utility and user experience. This technological displacement has accelerated the decline of single-function appliances.
Price sensitivity further complicates the landscape. With e-commerce platforms facilitating constant comparison shopping, manufacturers engage in relentless price competition. Joyoung, with its higher cost structure as an established brand, struggles to match prices offered by newer entrants. This dynamic has eroded pricing power across the industry, making profitability increasingly elusive even for historical leaders.
Policy Environment and Market Dynamics
Government initiatives like以旧换新 (replace old with new) provided temporary stimulus but failed to reverse structural declines. While the broader small appliance market grew 9% in first-half 2025 according to AVC data, Joyoung continued underperforming. The company’s inability to benefit from industry tailwinds highlights its specific competitive disadvantages.
Regulatory factors also play a role. China’s increasingly stringent energy efficiency standards and environmental requirements favor technologically advanced newcomers over legacy manufacturers. Joyoung’s historical reliance on patented technology, now expired, leaves it vulnerable to more agile competitors. These market conditions create a challenging environment where even well-executed strategies face headwinds, let alone Joyoung’s inconsistent execution.
The Meme Economy and Investment Implications
The Hakimi incident exemplifies how social media trends increasingly influence financial markets. Retail investors, empowered by zero-commission trading and financial social networks, can generate substantial price movements based on cultural phenomena rather than fundamental analysis. This represents both opportunity and risk—while memes drive stock price appreciation for lucky holders, they rarely signal sustainable value creation.
For Joyoung specifically, the Hakimi rally provided brief respite but ultimately changed nothing fundamental. Within days of the two-day limit up, the stock gave back nearly 15% of its gains, returning to its established downward trend. This pattern demonstrates the ephemeral nature of meme-driven rallies and their inability to resolve underlying business challenges.
Social Media’s Growing Market Influence
Platforms like Bilibili (B站), Douyin (抖音), and Weibo (微博) have become unexpected market movers. The speed at which the Hakimi meme translated into actual stock movement—despite factual inaccuracies—highlights how quickly information (and misinformation) propagates through modern investment communities. This acceleration creates both arbitrage opportunities and significant risks for unprepared investors.
Companies now face the challenge of managing their brand perception across these decentralized platforms. Joyoung’s experience shows that even clarified corporate communications cannot always counter viral narratives. In an attention economy, memes drive stock price movements with increasing frequency, requiring investors to distinguish between signal and noise.
Investment Strategies for Meme-Driven Markets
Sophisticated investors should approach meme-influenced stocks with caution. While quick gains are possible, the fundamental rule remains: sustainable investment returns come from business quality, not social media trends. The fact that memes drive stock price movements doesn’t make them reliable investment theses—if anything, it increases the importance of disciplined fundamental analysis.
For Joyoung specifically, investors should focus on whether management can articulate and execute a credible turnaround strategy. Key metrics to monitor include market share stabilization in core categories, successful new product launches beyond legacy offerings, and evidence of sustainable profitability in diversification efforts. Until these fundamentals improve, meme-driven rallies will likely prove temporary.
Path Forward for Joyoung and Investors
Joyoung stands at a critical juncture. The company must either reinvent its core business or successfully pivot to new growth categories. Historical attempts at transformation have yielded limited results, but several potential paths exist. Strengthening innovation in connected kitchen ecosystems, developing proprietary technology beyond expired patents, or pursuing strategic partnerships could provide avenues for recovery.
Investors should monitor several key indicators. First, watch for stabilization in the soybean milk maker segment—if Joyoung can halt market share erosion, it may signal improved competitiveness. Second, evaluate the success of post-Beetle Smart diversification efforts. Third, assess management’s ability to articulate a coherent strategy during upcoming earnings calls and investor presentations.
The Hakimi episode ultimately serves as a metaphor for Joyoung’s broader challenge: capturing fleeting attention is easier than building lasting value. While memes drive stock price in the short term, only fundamental business improvement can sustain long-term appreciation. For now, Joyoung remains caught between its glorious past and uncertain future, with viral trends providing temporary distraction but no substantive solution.
As markets evolve, investors must increasingly distinguish between social media phenomena and investment fundamentals. The companies that thrive will be those that harness digital trends while maintaining operational excellence—a balance Joyoung has yet to achieve. Until then, the king of soybean milk makers will likely continue relying on memes rather than metrics to move its stock price.