According to Nikkei Asia, the stock opened at 650 yuan ($91.90), giving the company a market cap of 305 billion yuan and making it the fourth most valuable firm on the STAR Market. The IPO raised approximately 8 billion yuan through the sale of 70 million shares at 114.28 yuan each.
Although shares later dipped to 556 yuan, the initial excitement reflects investors’ confidence in Moore Threads’ potential in the AI GPU market, despite its current performance lagging behind Nvidia. Analysts believe that China’s push for self-sufficiency in its chip supply chain, amidst U.S. trade tensions, is enhancing demand for domestic products.
Moore Threads is projected to generate revenues between 1.2 billion and 1.5 billion yuan in 2025, representing a possible 242% increase from the previous year, with expectations of profitability by 2027. The company’s IPO sets a precedent for other chipmakers in China and Hong Kong, with MetaX also preparing for its IPO with a share offering priced at 104.66 yuan.
