SMIC's stock price soared 5.01% during intraday trading on Tuesday, marking a significant upward movement for the semiconductor manufacturer.
The surge aligns with a continued rally in the semiconductor sector. SMIC is benefiting from a storage industry upcycle characterized by overall capacity shortage, prompting the company to deploy additional capacity to increase flexibility. The company has also recently completed the acquisition of the remaining stake in SMIC North, making it a wholly-owned subsidiary. Analyst sentiment remains positive, with Everbright Securities International maintaining a Buy rating and a target price of HKD 90, citing SMIC's position as a core beneficiary of domestic chip substitution.