CXMT stock soars 466% on Shanghai debut after record IPO

CXMT Corp. closed its archetypal trading league connected Monday up 466%, ending astatine 49 yuan against its IPO terms of 8.66 yuan per share, aft raising 57.92 cardinal yuan ($8.6 billion) successful the largest mainland Chinese semiconductor offering connected record, according to Reuters.

The debut lifted CXMT's marketplace capitalization to 3.3 trillion yuan ($488 billion), surpassing banking elephantine Industrial and Commercial Bank of China and making the Hefei-based chipmaker China's astir invaluable onshore-listed company. CXMT banal reached an intraday precocious of 55.03 yuan earlier pulling backmost to adjacent astatine 49 yuan.

CXMT's Monday league generated astir 141 cardinal yuan successful trading measurement connected the Shanghai exchange, a level nary A-share banal had antecedently reached successful a azygous day. At the clip of listing, conscionable 6.73% of full shares were disposable for trading, with the remainder taxable to lock-up restrictions.

The IPO surpasses SMIC's $7.5 cardinal Shanghai stock merchantability successful 2020. Retail request was intense, with Bloomberg reporting the nationalist tranche drafting 9.4 cardinal idiosyncratic orders totaling 7.07 trillion yuan — a subscription complaint 212 times the disposable allocation.

CXMT, formerly known arsenic ChangXin Memory Technologies, is the world's fourth-largest shaper of dynamic random-access representation chips — components utilized successful devices ranging from smartphones to AI servers. The planetary DRAM marketplace is dominated by Samsung Electronics, SK Hynix, and Micron Technology. Based connected fourth-quarter 2025 income figures, CXMT held a 7.67% stock of the planetary DRAM marketplace successful 2025, the institution said successful its IPO prospectus.

CXMT guided for first-half gross successful the scope of 110 cardinal to 120 cardinal yuan, much than 7 times the prior-year figure, alongside nett net of 66 cardinal to 75 cardinal yuan, swinging from a nonaccomplishment a twelvemonth ago. The institution posted first-quarter operating nett of 35.43 cardinal yuan, a crisp reversal from the 2.83 cardinal yuan operating nonaccomplishment it recorded successful the aforesaid play a twelvemonth prior, according to CNBC.

Morningstar's Jing Jie Yu told Reuters the IPO was priced astatine astir 1 times his firm's 2027 price-to-book estimate, a steep discount to the 2.1-to-2.3-times scope for planetary peers, yet helium viewed the opening-day popular arsenic overdone, citing the representation industry's boom-bust cycles and the enduring headwind of U.S. exertion export restrictions. Yuan Yuwei, who manages wealth astatine Trinity Synergy Investments, said the shares were overpriced and speculative, informing that "it's hard to accidental the optimism is sustainable."