China's DRAM maker ChangXin Memory Technologies (CXMT) surged 472% on its trading debut on Shanghai's STAR Market on July 27. Its market cap jumped from $85.5 billion to $489 billion in a single day. Market watchers, including the X account Serenity, reacted with disbelief to what was Asia's biggest IPO of the year.
CXMT priced its IPO at 8.66 yuan and closed its first day at 49.50 yuan. It raised up to 66.6 billion yuan, beating the previous STAR Market record set by chipmaker SMIC in 2020 (53.2 billion yuan). Reports say the surge pushed CXMT's market cap past Intel's, making it China's largest listed company by that measure.
Demand for AI server DRAM is running well ahead of supply, and that's lifted every memory maker's valuation. According to chip analyst Jukan, Nomura initiated coverage on listing day with a price target of 116 yuan and a 20x P/E multiple, twice Micron's valuation. If that target holds, CXMT's stock would be 13.4 times its IPO price and its market cap would reach 7.76 trillion yuan. Jukan's own reaction: "This is insane."
The first-day figures are confirmed across multiple outlets covering China's chip self-sufficiency rally. Nomura's 116-yuan target and 20x multiple, however, are still an analyst forecast, not a settled fact, and whether the stock actually gets there is a separate question
2026-07-27 · SCMP, Nikkei Asia, CNBC coverage
Some regulators and market participants worried an offering this large would drain liquidity from other Chinese tech stocks, but state media dismissed the concern, arguing the broader market could absorb the capital.
A price target 13 times the IPO price and double Micron's multiple is pricing in the peak of the DRAM cycle before it even arrives
Forecasts still call for a memory shortage through 2028, so there's room left for the re-rating to run
Why it matters · China's chip self-sufficiency rally has spread to the IPO market, setting a new reference point in the memory valuation debate.
Worth asking · 13 times the IPO price and double Micron's multiple: a bubble, or the new benchmark?
Awaiting gradingCheck in ~12 months whether CXMT trades near Nomura's RMB116 target (20x P/E, ~13.4x IPO price).