CXMT surges 466% on Shanghai STAR Market debut, market cap hits $487B

Published Jul 27, 11:48 AM UTC

ChangXin Memory Technologies (CXMT), China's only volume DRAM producer, closed its first day on Shanghai's STAR Market at 49 yuan, a 466% surge from its IPO price, giving it a market capitalization of about 3.3 trillion yuan ($487 billion). The company raised $8.6 billion in Asia's largest IPO of 2026. Its prospectus allocates 29.5 billion yuan across three projects: DRAM technology upgrades (13 billion yuan), next-generation DRAM research (9 billion yuan), and memory wafer manufacturing line upgrades (7.5 billion yuan), with no dedicated funding for high-bandwidth memory (HBM). CXMT's conventional DRAM yields more than three times the bits per wafer than HBM, but its DDR5 cost per bit is over 30% above Samsung, SK hynix, and Micron. The company plans to add 85,000 wafer starts per month this year, aiming for 350,000 by end-2026. Output is reportedly booked through 2027, with major customers including ByteDance, Tencent, Dell, HP, Lenovo, and Apple. Analysts are divided: Nomura has a buy rating with a 116 yuan target, while Morningstar values the stock at 14.90 yuan, citing lack of EUV lithography access. Only 6.73% of shares are currently tradable, with a lock-up expiring in January 2027.