On November 12, A-share semiconductor stocks led the market higher, with multiple sub-sectors including equipment, materials, and design posting strong gains.
As of press time, the Semiconductor Equipment ETF China Merchants (561980) surged sharply, with its underlying index climbing over 6%. Among heavyweight stocks, Naura Technology Group Co., Ltd. (SZSE: 002371) rose more than 5%, while Advanced Micro-Fabrication Equipment Inc. China (SSE: 688012) and Piotech Inc. (SSE: 688072) each gained over 4%. Hangzhou Changchuan Technology Co., Ltd. (SZSE: 300604) and Skyverse Technology Co., Ltd. (SSE: 688361) climbed more than 7% and 6% respectively, while Hygon Information Technology Co., Ltd. (SSE: 688041) and Cambricon Technologies Corporation Limited (SSE: 688256) soared over 7% and 11%.
The rebound in overseas markets provided a clear boost to A-shares. Overnight, the AI supply chain trade on US markets returned with vigor, with cloud services, telecommunications stocks, and semiconductor equipment sub-sectors staging significant rebounds. The Philadelphia Semiconductor Index jumped 5.66%, SanDisk Corporation (NASDAQ: SNDK) and Micron Technology, Inc. (NASDAQ: MU) surged over 13% and 11% respectively, while SK Hynix Inc. (KRX: 000660) gained more than 9%. Japanese and South Korean markets opened higher in early trading, with Samsung Electronics Co., Ltd. (KRX: 005930) rising about 3%.
Multiple factors provided support. On the overseas front, AI cloud services giant CoreWeave, Inc. (NASDAQ: CRWV) reported third-quarter results that beat expectations, projecting approximately $9 billion in customer prepayments and deposits over the next three months, easing market concerns about financing for computing power expansion. Meanwhile, the upcoming APEC summit and the anticipated Anthropic IPO also contributed positive sentiment.
On the domestic front, regarding optical modules, companies including Microsoft Corporation (NASDAQ: MSFT) jointly lobbied for import restrictions on optical modules, alleviating market concerns about domestic manufacturers' market access and order delivery. As for chips, some leading memory companies notified channel distributors of their intention to raise prices for enterprise-grade memory chips, refocusing market attention on memory price increases. Additionally, semiconductor export data repeatedly hit new highs, validating the industry's prosperity. Data showed that October IC exports grew 137.1% year-on-year, with the semiconductor and electronics supply chain—including integrated circuits, mobile phones, and automatic data processing equipment—contributing 14.3 percentage points to total export growth, a new monthly high since 2022.
Great Wall Securities noted that this data points to sustained robust growth in overseas computing power investment, while global semiconductor supply bottlenecks for memory and other components have yet to ease significantly, with China's related capacity upgrades and expansion creating a positioning effect. Among the critical domestic substitution segments, semiconductor equipment has shown significant signals, with international semiconductor equipment leaders seeing their mainland China sales share decline. According to statistics, ASML Holding N.V. (NASDAQ: ASML) saw its mainland China market share drop from 42% in last year's third quarter to 23% this year, a decline of 19 percentage points. Lam Research Corporation (NASDAQ: LRCX) saw its share fall from 43% to 35%, while semiconductor inspection and measurement equipment company KLA Corporation (NASDAQ: KLAC) saw its share drop from 39.5% to 34.5%. Tokyo Electron Limited (TSE: 8035) also saw its share decline from 40.3% to 36.4%. Correspondingly, Chinese equipment manufacturers are expanding their market presence, with Naura Technology and Advanced Micro-Fabrication Equipment replacing Lam Research and Tokyo Electron in certain etching equipment markets. It is reported that Naura Technology has supplied 14nm-class process equipment to Semiconductor Manufacturing International Corporation (HKEX: 00981) and is conducting tests on 7nm-class processes. Yangtze Memory Technologies Co., Ltd. is using Advanced Micro-Fabrication Equipment's etching equipment for high-layer-count NAND production, with the company having accumulated more than 8,800 reaction chambers in mass production across over 220 production lines domestically and internationally.
In terms of market allocation, the Semiconductor Equipment ETF China Merchants (561980) tracks the CSI Semiconductor Index, with equipment and materials constituents accounting for up to 80% of holdings, gathering sector leaders such as Advanced Micro-Fabrication Equipment, Naura Technology, Piotech, and National Silicon Industry Group Co., Ltd. (SSE: 688126), while also positioning in three computing power chip and wafer manufacturing leaders—Cambricon, Hygon Information, and SMIC (20%). The top ten holdings concentration reaches as high as 80%, poised to comprehensively capture the substitution dividends from domestic computing power and equipment leaders.
According to Huatai Securities, as of Q3, AI hardware-side positions declined approximately 11.9% after excluding price movement effects, with chip clearing showing initial results. Currently, the market's trading theme has shifted from "earnings-driven" to "chip-driven." Huadong Securities believes that previously oversold semiconductor equipment chain and other AI upstream and midstream prosperity trend directions may be a superior choice for positioning for gains through end-2026.
A MACD golden cross signal has formed for these stocks showing strong momentum.
Comments