MINIMAX-WP (00100) experienced a significant intraday decline of 5.01%, reflecting investor concerns about the competitive landscape and valuation challenges in China's artificial intelligence sector.
The stock's sharp drop comes as news emerges about DeepSeek's funding round, which is reportedly valuing the Chinese AI startup at around $20 billion—far below the private valuations of U.S. counterparts like OpenAI and Anthropic. This valuation discrepancy signals growing pains in China's AI industry, where competitive offerings from companies like MINIMAX-WP have flooded the market.
Industry analysts point to structural challenges including intensifying competition, talent shortages, computing deficits, and U.S. chip export controls as factors weighing on Chinese AI companies. These concerns appear to have overshadowed positive analyst recommendations from firms like Jefferies and JPMorgan, leading to selling pressure on MINIMAX-WP shares during the trading session.
Comments