The share price of "Guangzhou No.1 Chip" tumbled 14% on the second day following its listing, pushing its market capitalization below 100 billion yuan.

On October 14, the "No.1 Chip of Guangzhou" Yuexin Semiconductor, which landed on the ChiNext board for only one day, plunged sharply during intraday trading, falling by more than 14% at one point in the morning session. As of the midday close, it was quoted at 34.67 yuan, with a drop of over 10%, and the total market value reached 99.788 billion yuan, falling below the 100 billion yuan mark.

The stock name is prefixed with a "C". According to the ChiNext rules, new shares carry this mark from the second trading day to the fifth trading day after listing, which means there are no limits on the rise and fall percentages.

On the first trading day of listing, Yuexin Semiconductor just experienced a wild opening.

On October 13, Yuexin Semiconductor was listed on the ChiNext board at the issue price of 12.01 yuan. During the collective bidding stage, the stock price jumped directly to 45 yuan at opening, up 274.69% compared with the issue price, corresponding to a total opening market value of about 129.6 billion yuan. At that moment, the floating profit of one lot of 500 shares was about 16,500 yuan. But the opening price was basically the highest point of the whole day.

After that, the stock price kept falling, and finally closed at 38.80 yuan, with the first-day increase fixed at 223.06% and a total market value of 111.67 billion yuan. From opening to closing, the pullback exceeded 13%, and the amplitude was as high as 58.28%.

01

The trading data on the first day was equally astonishing.

The daily turnover rate reached 70.21%, with a trading volume of 7.14 billion yuan, and the 244 million shares in circulation were almost fully traded. On the first day of listing, the margin trading buy-in amount was 320 million yuan, accounting for 4.49% of the total daily trading volume, and the latest margin trading balance was 280 million yuan. In other words, the capital that chased the high position to enter the market yesterday faced floating losses as soon as the market opened today.

Three months ago, the issue price of Yuexin Semiconductor was set at 12.01 yuan, with 513 million shares issued, raising a total of 6.157 billion yuan. It is the first new share on the Shenzhen Stock Exchange that applies the agreed share lock-up arrangement, and also a project that adopts the third set of listing standards for the ChiNext board — the latter is targeted at hard technology enterprises that have not yet made profits.

The company, registered and established in Huangpu, Guangzhou in December 2017, is known as the "No.1 Chip of Guangzhou". It is the first 12-inch wafer manufacturing enterprise independently nurtured in Guangdong Province that has achieved mass production. Its registered address is No. 28, Fenghuang 5th Road, Huangpu District, Guangzhou, and its legal representative is Chen Jin.

In terms of business, Yuexin is engaged in 12-inch special process wafer foundry, with process nodes covering from 180nm to 55nm, and its products are applied in consumer electronics, industrial control, automotive electronics, artificial intelligence and other fields. Its positioning is quite special — it is a rare domestic wafer foundry that integrates "integrated circuits, power devices and optoelectronic integration". The prospectus mentions that 80% of the top ten domestic listed analog chip companies have established cooperation with Yuexin.

In terms of production capacity, Yuexin currently has two 12-inch wafer fabs. As of the end of 2025, the actual monthly production capacity was about 63,300 wafers, and the total planned monthly production capacity is 80,000 wafers. The fourth phase of Yuexin has started construction in 2026. It is expected that after it is put into operation in 2029, the overall production capacity will reach 120,000 wafers per month. In addition, the company has had the mass production capacity of 12-inch silicon optical wafers, and its silicon optical products can meet the requirements of 400G, 800G and even 1.6T optical modules.

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But this company with a market value of 100 billion yuan has not yet made a profit.

The prospectus shows that in 2023, 2024 and 2025, the operating revenue of Yuexin Semiconductor was 1.044 billion yuan, 1.681 billion yuan and 2.582 billion yuan respectively, with a fast growth rate, but the net profit attributable to shareholders of the parent company in the same period was a loss of 1.917 billion yuan, 2.253 billion yuan and 2.346 billion yuan respectively. The cumulative loss in three years exceeded 6.5 billion yuan. Adding the first half of 2026, the cumulative attributable loss in the last three and a half years has exceeded 7.5 billion yuan.

This big negative candlestick today, to some extent, is the market's re-pricing of high valuation and continuous losses.

The 223% increase on the first day of listing itself has overdrawn quite a lot of expectations. For a company with annual revenue of more than 2 billion yuan and annual loss of more than 2 billion yuan, what a market value of 100 billion yuan means is clear to every participant.