HK/China Equity Long-Short

Osbert Tang, CFA

Equity Capital Markets

CXMT Corporation / Equity Capital Markets

<ul>
<li>
<a href="https://www.smartkarma.com/entities/changxin-memory-technologies-inc" target="_blank" data-smartkarma-citation="entities:44129:1" rel="noopener">CXMT (1726722D CH)</a> aims to raise Rmb29.5bn in its IPO in the A-share STAR market. It is rapidly gaining global market share, which is its key attractiveness.</li>
<li>It is a beneficiary of a solid industry and demand outlook. It has a leadership position in China's DRAM market and high competitiveness built on its technological strength. </li>
<li>At just 2.8x PER for FY26, based on 10% share capital enlargement, our initial assessment is that it is priced cheaper than global peers. </li>
</ul>



CXMT (1726722D CH) aims to raise Rmb29.5bn in its IPO in the A-share STAR market. It is rapidly gaining global market share, which is its key attractiveness.
It is a beneficiary of a solid industry and demand outlook. It has a leadership position in China's DRAM market and high competitiveness built on its technological strength. 
At just 2.8x PER for FY26, based on 10% share capital enlargement, our initial assessment is that it is priced cheaper than global peers. 


CXMT Corporation (长鑫科技) Pre-IPO: Key Investment Thesis

Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>
<a href="https://www.smartkarma.com/entities/kioxia-holdings-corp" target="_blank" data-smartkarma-citation="entities:29243:1" rel="noopener">Kioxia Holdings (285A JP)</a> sits at the intersection of some interesting near- and mid-term flow dynamics. Index flow, pre-IPO selling, and even some buyback flow. </li>
<li>In this insight, we measure what is announced, what is unannounced, what is likely, and what is possible. </li>
<li>And we also look at cashflows. Kioxia trades at an EV which will earn itself out in EBIT form by June 2028. Net Profit by Mar-2030.</li>
</ul>



Kioxia Holdings (285A JP) sits at the intersection of some interesting near- and mid-term flow dynamics. Index flow, pre-IPO selling, and even some buyback flow. 
In this insight, we measure what is announced, what is unannounced, what is likely, and what is possible. 
And we also look at cashflows. Kioxia trades at an EV which will earn itself out in EBIT form by June 2028. Net Profit by Mar-2030.


Kioxia (285A JP) - Interesting Demand/Supply Dynamics Near-Term and Over Time

Index Rebal/Special Situations, Quiddity Advisors

Janaghan Jeyakumar, CFA

Index Rebal/Special Situations

Index Rebalance

<ul>
<li>STAR 50 and STAR 100 are tech-focused, blue-chip indices in Mainland China which track the top largest and most liquid names in the STAR market of the Shanghai Stock Exchange.</li>
<li>In this insight, we look at the potential ADDs/DELs for the STAR50/STAR100 indices for the December 2026 index rebal event.</li>
<li>We expect around US$3.3bn combined one-way flows for STAR 50 and STAR 100 during the December 2026 index rebal event.</li>
</ul>


STAR 50 and STAR 100 are tech-focused, blue-chip indices in Mainland China which track the top largest and most liquid names in the STAR market of the Shanghai Stock Exchange.
In this insight, we look at the potential ADDs/DELs for the STAR50/STAR100 indices for the December 2026 index rebal event.
We expect around US$3.3bn combined one-way flows for STAR 50 and STAR 100 during the December 2026 index rebal event.


Quiddity Leaderboard STAR 50/100 Dec26: US$3.3bn Combined One-Way Flow; Exp.ADDs Down Vs Exp.DELs

Research from Quam Securities, Quam Securities

Quam Securities Research

Research from Quam Securities

Quam Securities

Since its inception in 1986, Quam Securities Limited (Quam Securities) has grown to become one of the few mid-tier securities brokerages in Hong Kong with global execution capabilities for both private and institutional clients. It boasts a well-established network in Greater China including Taiwan and in major world markets through the Global Alliance Partners (GAP). Quam Securities is well-positioned not only to harness and drive business within the China Tonghai International Financial Limited but also between China and the world markets.

Equity Bottom-Up

<ul>
<li>The HSI opened down 99 pts, with losses widening to more than 280 pts at one stage and briefly falling below the 24,000 mark intraday.</li>
<li>Sentiment remained fragile amid a global selloff in AI-related shares, driven by concerns over intensifying competition in the semiconductor industry, elevated valuations and the returns on heavy AI spending.</li>
<li>However, reports that CXMT made key advances in high-density chip design offered some support, highlighting China’s push to strengthen its position in a critical segment of the semiconductor industry.</li>
</ul>


The HSI opened down 99 pts, with losses widening to more than 280 pts at one stage and briefly falling below the 24,000 mark intraday.
Sentiment remained fragile amid a global selloff in AI-related shares, driven by concerns over intensifying competition in the semiconductor industry, elevated valuations and the returns on heavy AI spending.
However, reports that CXMT made key advances in high-density chip design offered some support, highlighting China’s push to strengthen its position in a critical segment of the semiconductor industry.


Semiconductor & Technology Specialist, Ingenuity

William Keating

Semiconductor & Technology Specialist

Ingenuity

Our focus is exclusively on in-depth research & consulting in the broader semiconductor industry. We focus on the key players, namely Intel, Micron, Qualcomm, Apple, Samsung, NVIDIA, AMD, TSMC & Global Foundries - as well as some of the lesser known, but nonetheless critical, companies such as ASML (for EUV), Mellanox, Cavium, Xilinx etc. We specialise in their products, roadmaps, process technologies, competitive advantages & threats etc. We also help our clients understand the implications of new and emerging technologies, e.g. 3D X-Point, 3D NAND, Carbon Nanotubes, Autonomous Driving, Graphene, Silicon Photonics, Wafer-Level Optics, Artificial Intelligence, FPGA, GPU, ASIC etc. 

Semiconductor Analysis & Research

<ul>
<li>CXMT is seeking a Shanghai STAR Market listing through an A-share IPO of up to 10.62 billion shares, equal to at least 10% of post-issue share capital</li>
<li>For Q1 2026, CXMT reported RMB 50.800 billion of revenue, +719% YoY and RMB 24.762 billion of attributable net profit versus a RMB 1.559 billion loss in Q1 2025.</li>
<li>CXMT says that based on Omdia data for Q4 2025 DRAM sales, its global market share had risen to 7.67%, making it #4 globally and #1 in China</li>
</ul>


CXMT is seeking a Shanghai STAR Market listing through an A-share IPO of up to 10.62 billion shares, equal to at least 10% of post-issue share capital
For Q1 2026, CXMT reported RMB 50.800 billion of revenue, +719% YoY and RMB 24.762 billion of attributable net profit versus a RMB 1.559 billion loss in Q1 2025.
CXMT says that based on Omdia data for Q4 2025 DRAM sales, its global market share had risen to 7.67%, making it #4 globally and #1 in China


CXMT’s IPO Filing. China’s DRAM Comes Of Age

China

CXMT Corporation develops, manufactures, and distributes integrated circuit products. The Company produces dynamic random-access memory chips. CXMT conducts businesses in China.

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CXMT Corporation (688825 CH)

CXMT Corporation (长鑫科技) Pre-IPO: Key Investment Thesis

CXMT plans to raise Rmb29.5bn in its IPO on the A-share STAR market, with strong global market share growth and competitive IPO pricing compared...

Osbert Tang, CFA

Kioxia (285A JP) - Interesting Demand/Supply Dynamics Near-Term and Over Time

Kioxia was Japan's largest market cap in June. The stock is down 65% since then. There are large index flows in the next 6wks, and buyback vs...

Travis Lundy

Quiddity Leaderboard STAR 50/100 Dec26: US$3.3bn Combined One-Way Flow; Exp.ADDs Down Vs Exp.DELs

As witnessed in our recent China Mainland insights (CSI300/500, ChiNext, and CSI 1000), the net inflow names are underperforming the net outflow...

Janaghan Jeyakumar, CFA

Quam Morning Note (14 Oct)

The HSI opened down 99 pts, with losses widening to more than 280 pts at one stage and briefly falling below the 24,000 mark intraday. Sentiment...

Quam Securities

CXMT’s IPO Filing. China’s DRAM Comes Of Age

CXMT says that based on Omdia data for Q4 2025 DRAM sales, its global market share had risen to 7.67%, making it #4 globally and #1 in China

William Keating

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

CXMT Corporation (长鑫科技) Pre-IPO: Key Investment Thesis

​CXMT plans to raise Rmb29.5bn in its IPO on the A-share STAR market, with strong global market share growth and competitive IPO pricing compared...

Osbert Tang, CFA

Kioxia (285A JP) - Interesting Demand/Supply Dynamics Near-Term and Over Time

Kioxia was Japan's largest market cap in June. The stock is down 65% since then. There are large index flows in the next 6wks, and buyback vs...

Travis Lundy

Quiddity Leaderboard STAR 50/100 Dec26: US$3.3bn Combined One-Way Flow; Exp.ADDs Down Vs Exp.DELs

As witnessed in our recent China Mainland insights (CSI300/500, ChiNext, and CSI 1000), the net inflow names are underperforming the net outflow...

Janaghan Jeyakumar, CFA

Quam Morning Note (14 Oct)

The HSI opened down 99 pts, with losses widening to more than 280 pts at one stage and briefly falling below the 24,000 mark intraday. Sentiment...

Quam Securities

CXMT’s IPO Filing. China’s DRAM Comes Of Age

CXMT says that based on Omdia data for Q4 2025 DRAM sales, its global market share had risen to 7.67%, making it #4 globally and #1 in China

William Keating

CXMT plans to raise Rmb29.5bn in its IPO on the A-share STAR market, with strong global market share growth and competitive IPO pricing compared...