CXMT Growth Outlook Brightens Amid Tight Memory Market

Dow Jones08-27

0209 GMT - Chinese DRAM maker CXMT is expected to sustain rapid growth over the next several years, as strong artificial-intelligence-related demand keeps the global memory market tight, according to a Morgan Stanley report. The brokerage initiates coverage of CXMT with an overweight rating, forecasting revenue to grow at a 140% compound annual rate between 2025 and 2028, driven by capacity expansion, rising adoption of its memory chips and firm pricing. Morgan Stanley estimates CXMT's share of global DRAM bit shipments will rise to 15% by 2030 from 11% in 2026, while global DRAM supply is expected to remain constrained through 2027 despite industry expansion plans. The report says demand from China's AI infrastructure build-out should continue to support the company's growth.

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