Analysis of Biren Technology's Listing Performance and Capital Expectations

According to actual data, Biren Technology (6082.HK) was listed on the main board of the Hong Kong Stock Exchange on January 2, 2025, becoming the first GPU concept stock in the Hong Kong stock market. Its listing performance far exceeded market expectations, with a closing gain of

on the first day, not the 80% you mentioned [1]. This hot performance reflects multiple new expectations of the capital market for China’s GPU track.

As the first GPU stock in the Hong Kong market, Biren Technology’s scarcity is an important factor attracting capital. The company listed under Chapter 18C of the Listing Rules (Specialist Technology Companies), with a final offering price of HK$19.6, raising nearly HK$5.6 billion. The public subscription multiple exceeded 2300 times, attracting 476,000 subscribers, making it the new stock with the most retail subscriptions in the past year [2]. This intense subscription enthusiasm reflects investors’ high recognition of the uniqueness of the domestic GPU track.

Against the background of Sino-US technological competition, the Chinese government has clearly proposed to significantly improve the level of self-reliance and self-improvement in science and technology, which makes investors full of confidence and expectations for domestic GPU manufacturers. Biren Technology previously received listing guidance for the Science and Technology Innovation Board in 2024, but switched to a Hong Kong IPO in the first half of 2025. This strategic adjustment reflects new ideas of Chinese AI chip enterprises in global capital market layout [3]. The capital market interprets this as the continuous increase of policy support for the domestic GPU industry.

Previously, GPU concept stocks in the A-share market performed extremely strongly, creating an excellent market atmosphere for Biren Technology’s listing. Moore Thread listed on the Science and Technology Innovation Board in December 2024, with a first-day gain exceeding 400% at one point, setting the strongest debut performance on the Science and Technology Innovation Board; then, when Muxi Semiconductor listed, its stock price soared by nearly 700% [4]. This demonstration effect makes investors have extremely high expectations for Biren Technology’s first-day performance, forming a self-reinforcing positive cycle.

According to third-party research forecasts, the scale of China’s AI chip market will reach 899.1 billion yuan by 2029, three times the 217.5 billion yuan in 2024. Domestic general-purpose GPU products are expected to account for more than half of the market share by 2029, higher than last year’s 17.4% [5]. This huge market growth space is the fundamental logic supporting capital enthusiasm. Although Biren Technology’s revenue in 2024 was only 337 million yuan, the high growth of the industry makes the capital market willing to give a high valuation premium.

Although the first-day performance was amazing, market analysts remain cautious. A strategist at Everbright Securities International pointed out that there are a large number of state-owned institutions participating in Hong Kong stocks, which usually hold long-term and do not operate frequently, so the stock price fluctuation range is relatively limited [6]. Ji Wenhe, a partner of Deloitte China’s Capital Market Services Department, also expects that the Hong Kong stock market’s reaction to Biren Technology will not be as crazy as that of A-shares. In addition, the company is not yet profitable, recording a loss of 1.6 billion yuan for the six months ended June 30, 2025, and challenges such as technical gaps and capacity constraints still exist.

Biren Technology’s first-day surge reflects fivefold expectations of capital for China’s GPU track: valuation premium from scarcity, certainty from policy support, growth imagination from the rapid growth of China’s AI industry, expectation of market share increase from domestic substitution, and strategic value from the reshaping of the global AI chip competition pattern. However, investors also need to pay attention to risk factors such as intensified industry competition, difficulty in technological breakthroughs, and capacity constraints to avoid blind chasing of high prices.

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[1] Wall Street Journal Image Report - Biren Technology IPO First-Day Stock Price Performance Chart (https://images.wsj.net/im-38942956)

[2] Yahoo Finance - “Biren 476,000 Subscribers: This Year’s Hottest New Stock, Unique Domestic GPU Industry, 2363x Oversubscription” (https://hk.finance.yahoo.com/news/壁仞47-6万-认购-今年最热-国产gpu-2363倍-183800376.html)

[3] Yahoo Finance - “Hong Kong Stocks Welcome First GPU Stock Biren Technology; Market Focuses on Whether It Can Stage a Strong Debut” (https://hk.finance.yahoo.com/news/港股迎来首家gpu-壁仞-市场聚焦-能否-上演强劲首秀-003523401.html)

[4] Yahoo Finance - “Hong Kong Stock Chip Wave Enters AI Track; Iluvatar CoreX Joins the Battle” (https://hk.finance.yahoo.com/news/港股芯片潮驶入ai赛道-天数智芯加入战局-044018768.html)

[5] Iluvatar CoreX Listing Documents and Market Research Data

[6] Everbright Securities International and Deloitte China Capital Market Analysis Views