Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions Saved Articles My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials HomeInvestorChinese chipmaker CXMT jumps 466% after blockbuster IPOThe maker of dynamic RAM chips is valued at about US$488 billionAuthor of the article: You can save this article by registering for free here. Or sign-in if you have an account.This photo shows a view of the ChangXin Memory Technologies (CXMT) factory on the outskirts of Beijing on July 27, 2026. Photo by Pedro PARDO / AFP via Getty ImagesCXMT Corp. surged 466 per cent in its Shanghai trading debut to become China’s largest onshore-listed company, as investors piled into one of the country’s biggest artificial-intelligence champions.Subscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.Subscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountorAt its closing price of 49 yuan on Monday, the maker of dynamic random-access memory chips is valued at about 3.3 trillion yuan (US$488 billion), surpassing all other A-share companies.The blockbuster debut of the second-largest initial public offering in China’s history — raising as much as 66.6 billion yuan — underscores investors’ voracious appetite for a company viewed as central to Beijing’s ambitions to build a self-sufficient semiconductor industry. CXMT has emerged as the nation’s best hope of challenging foreign suppliers in DRAM chips, a critical component used in everything from smartphones to AI servers.Canada's best source for investing news, analysis and insight.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Investor will soon be in your inbox.We encountered an issue signing you up. Please try againThe company, formerly known as ChangXin Memory Technologies, is the world’s fourth-largest producer of DRAM, making it a rare pure-play for investors to bet on China’s role in the global AI infrastructure buildout. A successful market listing also builds momentum for other Chinese chipmakers in the IPO pipeline.“The stock’s opening was largely in line with my expectations, but the sharp move higher after the open has been remarkable,” said Ao Fei, managing director at Beijing Xinhan Capital. “Given how scarce pure-play memory names are in the A-share market, I wouldn’t rule out a period of speculative frenzy in the first few trading days,” he added, referring to China’s onshore equities market.CXMT generated 141 billion yuan in turnover on Monday, representing nearly seven per cent of all the transactions in China’s onshore market.The Hefei, Anhui-based company is now China’s second-biggest listed firm, behind Hong Kong-traded Tencent Holdings Ltd.With the fundraising, CXMT will have a war chest to compete with Samsung Electronics Co, SK Hynix Inc. and Micron Technology Inc. Its Korean rivals have announced plans to build new plants as the nation plans to double memory chip production within five years. Meanwhile, Apple Inc. is in negotiations to purchase chips from the Chinese chipmaker for use in devices sold in China.Despite the impressive debut, the Chinese chip behemoth remains well below SK Hynix’s US$881 billion market capitalization and Micron’s US$1 trillion.Led by U.S.-trained chip veteran Zhu Yiming, CXMT aims to double output this year and build a top-to-bottom supply chain, from chip design to final assembly, people familiar with the matter had said, asking not to be identified discussing previously unreported targets.CXMT is buttressed by retail investor demand, attractive valuations, and renewed signs of state-backed support for markets.The retail portion of the IPO was 212 times oversubscribed, with individual investors submitting 9.4 million orders for 7.07 trillion yuan worth of shares — about 10 times the comparable order book of SpaceX’s world record IPO.A group of Chinese companies along the AI supply chain have also produced some spectacular first-day performances over the past year. Semight Instruments Co. soared a record 876 per cent in April, surpassing the 693 per cent mark set by MetaX Integrated Circuits Shanghai Co. in December. In a similarly watched debut, fellow chipmaker Moore Threads Technology Co. jumped 425 per cent in December.To be sure, semiconductor shares have been volatile in recent weeks as some investors grew concerned that the mega-listing would signal a peak in the AI-driven rally.But many investors remain upbeat on CXMT’s long-term attractiveness, saying that buying forces may put a floor under the stock even if sentiment for chip names sours elsewhere.“Unlike some of the mega IPOs that came before it, CXMT hasn’t reached the limits of either its technology or its market share,” said Zeng Jiqing, a fund manager at Beijing Nuohua Investment Management Co. “There’s still enormous room for growth.”A successful listing may also build momentum for other companies in the deal pipeline, including rival Yangtze Memory Technologies Co. and Baidu Inc.’s chip unit Kunlunxin. DeepSeek may file as soon as this year for an IPO, people familiar with the matter have said.Sell side analysts are even more bullish, as they see the company at the intersection of the biggest investment themes of the times: AI and tech self-reliance. Huaxi Securities projects a market value of 5 trillion yuan at 40 times 2026 earnings, seeing revenue more than doubling to 572.7 billion yuan by 2028 from an estimated 277.7 billion yuan this year, with net profit climbing to 290 billion yuan.Nomura Holdings Inc. analysts including Donnie Teng initiated the stock’s coverage with a buy rating and a price target of 116 yuan. The broker expects the memory giant to trade at double the valuation of its major U.S. competitor Micron, due to market share gains and the higher valuation multiples in China’s market.CXMT may be eligible for stock connect inclusion in time for the third quarter review in late August, taking effect in mid September, at the earliest.With assistance from Dave Sebastian Join the Conversation This website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.