A significant milestone was reached in China's capital markets today, marking a historic shift in investor focus. The leading AI hardware companies have now overtaken the traditional consumer stock champion in terms of both share price and market capitalization.
As of the midday close, two major historical overtakes were witnessed. Zhongji Innolight Co., Ltd., a leader in optical modules, saw its share price surge over 10% to reach a record high, surpassing that of Kweichow Moutai Co.,Ltd. (SH: 600519) to become the fourth highest-priced stock on the A-share market. This move signals that the strategic scarcity and certainty of high-end AI hardware technology are now formally considered more valuable in the eyes of the market than the traditional liquor giant.
Simultaneously, Industrial Fuels Interconnect, a major player in AI computing power, saw its share price rise nearly 6% to a record high, pushing its market capitalization to 1.68 trillion yuan. This valuation surpassed that of Kweichow Moutai and another major state-owned enterprise, making it the eighth largest listed company by market cap on the A-share market. Consequently, Industrial Fuels Interconnect has become the most valuable new "technology stock king" in the Shanghai and Shenzhen markets, excluding major financial and oil corporations.
This dual overtaking in both share price and market value represents far more than a simple sector rotation. It is a defining moment symbolizing the transformation of driving forces within China's capital markets. Historically, the market viewed Kweichow Moutai as the benchmark for core assets. Today, as the AI era progresses from mere computational power accumulation to addressing the critical bottlenecks in network connectivity and architecture, companies like Zhongji Innolight and Industrial Fuels Interconnect—the essential infrastructure providers for the AI boom—have truly become the hardcore core assets leading this new era.
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