Stock Track | SMIC Soars 5% Intraday on AI Expansion Wave, TSMC Price Hikes, and Strategic Capacity Integration

Stock Track
Jun 29

SMIC's stock price soared 5.00% during intraday trading on Monday, reflecting strong investor sentiment towards the semiconductor giant.

The surge is attributed to multiple positive catalysts within the semiconductor sector. The AI-driven computing power expansion cycle is lifting the entire industry into a high-prosperity phase. Additionally, leading foundry TSMC's notification of price increases across advanced nodes has created optimistic pricing tailwinds for the sector.

Company-specific developments also fueled the rally. SMIC recently completed a 40.6 billion yuan share issuance to acquire the remaining stake in SMIC North, making it a wholly-owned subsidiary. This strategic capacity integration further consolidates SMIC's position as China's largest foundry and enhances its competitive edge amid surging domestic chip manufacturing demand. Industry analysis highlights SMIC as the core player leading the large-scale expansion of domestic advanced logic chips, directly benefiting from regulatory support and an expanding total addressable market.

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