Last week the flagship of the Chinese contract semiconductor manufacturing company SMIC, made his debut in the STAR section of the Shanghai stock exchange and first day of trading, the stock rose three times. Many Chinese issuers are able to surpass the success of SMIC, as the experience of Cambricon company whose shares per day have risen in price four times.
The developer of processors for artificial intelligence systems Cambricon Technologies was founded in the spring of 2016, during its existence the company managed to raise about $200 million of capital. The debut of shares of the company on the court STAR was accompanied by growth of quotations on 358 %. Other associated with the semiconductor sector Chinese company at the site STAR are also very successful, with shares of Advanced Micro-Fabrication Equipment grew by 127% year-to-date, shares Will Semiconductor (52 %) and Gigadevice Semiconductor (+64 %) were in fourth and sixth place in the CSI 300, respectively.
According to representatives of Mizuho Securities Asia in the next five years, similar to the dynamics of the stock price of Chinese companies of the semiconductor sector will continue. At this stage of the development of Chinese industry will receive a massive financial investment from both government funds and independent investors. From this point of view the stock market of China is now living hopes for the success of authorities policy on development of own technologies and industries.
Apart the existing Hong Kong market such optimism is not shared. The local stock market stock SMIC on the first day of their appearance on the court STAR has fallen in price by 25% and now is trading at 33% below the values on 13 July, when it was updated the record. In the end, here the stock SMIC are three times cheaper than in Shanghai. Local investors are more sober in assessing the development potential of China’s semiconductor industry.