GIGADEVICE Shares Surge at Open on Back of Major Stakeholder's Strong Earnings Forecast

Stock News05-18 09:29

GIGADEVICE (03986) opened sharply higher, gaining nearly 11%. At the time of writing, the stock was up 10.94% to HK$603.5, with a turnover of HK$47.4955 million. The surge follows an update to the prospectus by ChangXin Memory Technologies (CXMT), a leading domestic memory chip manufacturer. Benefiting from a rapid rise in DRAM product prices, the company's performance has significantly exceeded expectations. Its first-quarter revenue increased by 719.13% year-over-year, while net profit attributable to the parent company's owners surged by over 1688% year-over-year. CXMT also forecasts that its net profit attributable to the parent company for the first half of 2026 will be between RMB 50 billion and RMB 57 billion, representing a substantial year-over-year increase of 2244.03% to 2544.19%. Public information indicates that among A-share listed companies, GIGADEVICE Semiconductor Inc. (603986) is the most closely associated with CXMT. According to the prospectus, GIGADEVICE's latest shareholding stands at 1.8%. Notably, GIGADEVICE's Chairman, Zhu Yiming, also serves as the Chairman of CXMT, creating a uniquely synergistic structure within the domestic memory industry chain through their strategic alignment.

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