Montage Technology Shares Surge on Successful DDR5 RCD Chip Sample Delivery

Stock News06-22

Shares of Montage Technology (HKEX: 06809) experienced a significant rise during the morning trading session, climbing more than 5%.

At the time of writing, the stock was up 5.15% to HK$46.94, with a trading turnover of HK$473 million.

The positive movement follows an announcement from the company on an interactive investor platform.

Montage Technology stated that it has recently succeeded in delivering sample DDR5 sixth-generation RCD chips to a client.

This new chip supports data transfer rates as high as 9200 MT/s, representing a 15% improvement over the previous generation product.

It is designed to meet the stringent high-bandwidth requirements of next-generation server platforms.

The company is recognized as the lead developer of the international standard for DDR5 RCD chips.

Analysis from securities firm Zheshang indicates that the DDR5 and MRDIMM upgrade cycle is driving simultaneous growth in both volume and price for the company's core product line, memory interface chips.

Interconnect-related chips accounted for 94.18% of the company's revenue in 2025.

Zheshang's view is that DDR5's share of server DRAM bit shipments reached approximately 40% in 2024 and is projected to increase to between 60% and 65% in 2025.

Major memory manufacturers have announced plans to cease production of DDR4 by the end of 2025 or early 2026, facilitating a gradual generational transition.

This suggests the company's core business has strong and predictable growth prospects.

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