Moore Threads : Shares Skyrocket 469% Following $1.1 Billion IPO Debut
What happened with Moore Threads
Moore Threads, a Chinese AI-chip maker, stunned global markets when its shares soared 469% on its first trading day after the IPO. The IPO raised about 8.0 billion yuan (approximately $1.1 billion), making it one of the largest and most watched debuts on China’s STAR Market this year.
Investors pushed the demand extremely high. In its offline subscription phase, the allotment was oversubscribed by a massive factor. On listing day, the share price catapulted, reflecting strong confidence in Moore Threads’ future, despite current losses.
Why Moore Threads IPO drew such huge interest
Strong demand for domestic AI-chips
China is rapidly seeking to build a homegrown semiconductor industry. Moore Threads, a local GPU and AI-chip developer, is viewed as a key part of that push. The company aims to challenge global players by producing chips for AI, data centers, and high-performance computing.
Many institutional investors piled in. According to reports, during the subscription, 267 institutions were involved, including public and private funds, brokerages, and insurers. The high subscription numbers show deep confidence in Moore Threads’ long-term vision.
IPO pricing set a record in the A-share market
The IPO share price was set at 114.28 yuan per share, the highest for any new A-share listing in 2025. Given the pricing and expected valuation, the IPO marked a milestone for China’s domestic AI chip sector.
Fast-track approval and timing
Moore Threads’ IPO approval on the STAR Market came unusually quickly. From initial application acceptance to full registration, the process took just 122 days. That makes it one of the fastest IPOs in 2025 on the market. The speed reflects both regulatory support and strong market interest.
Company background: Who is Moore Threads
Moore Threads was founded in October 2020 by Zhang Jianzhong, a former executive at NVIDIA China. The company focuses on designing GPUs and AI-acceleration chips, aiming to support large-scale AI model training and data-center demand.
Over recent years, Moore Threads has seen rapid revenue growth. From a modest income in 2022, revenues surged substantially by 2024. But the company remains unprofitable, due to heavy investments in research and development (R&D) and large-scale infrastructure build-out.
Financial picture: Rapid growth, but steep losses
In 2024, the company reported revenue in the hundreds of millions of yuan, yet net losses continued. Their R&D spending has been substantial, and that investment has paid off in growth potential, even though profitability remains elusive for now.
Industry analysts believe Moore Threads may turn profitable by around 2027, if the demand for AI chips continues to grow and its technology matures.
What market watchers are saying
One analyst noted that Moore Threads’ rapid IPO process and market debut reflect a turning point for China’s domestic GPU industry. Others compare Moore Threads to global GPU firms, saying the company is“China’s answer to NVIDIA.”
Still, some caution that high valuation compared to current earnings means the rally may carry risk, especially if competition intensifies or technological challenges emerge.
What does the 469% surge mean
- Investor confidence in China’s AI-chip ambitions: The dramatic surge underscores faith in Moore Threads’ long-term prospects and China’s government-backed push toward chip self-sufficiency.
- Validation of domestic GPU demand: With global supply constraints and geopolitical pressures, Chinese firms and cloud providers are likely to increase demand for domestic GPUs.
- Attention on tech IPOs in China: This IPO may open doors for more tech and AI-chip start-ups to go public, especially in emerging-tech sectors.
Real-time social sentiment
CNBC on X (formerly Twitter) posted about the IPO surge and called Moore Threads a “must-watch for the AI chip sector worldwide.”
Another post by CapitalOps highlighted the massive oversubscription rate and investor frenzy surrounding the IPO.
A message from Sino Market emphasized that Moore Threads could reshape China’s GPU landscape and lessen dependence on Western chip makers.
What questions remain
When will Moore Threads become profitable?
The company estimates profitability by 2027, but that depends heavily on market adoption, ability to scale, and competition.
Can Moore Threads compete with global giants?
Technically, yes, especially for AI and data-center workloads in China, but global firms still lead in many areas.
What about the impact of sanctions?
The company previously faced U.S. restrictions and lost access to certain foreign chip-making partners; overcoming these hurdles remains vital.
What this means for China and global tech
Moore Threads’ IPO and share surge send a strong signal that China is serious about building domestically designed GPUs and AI-chips. For global tech watchers, this could mean a shift in supply chains, more competition in AI infrastructure, and a new era of GPU development outside traditional Western firms.
For investors, it shows there is a huge appetite for high-growth tech plays in China, but also substantial risk. High valuation and continued losses mean returns aren’t guaranteed; careful monitoring is needed.
Conclusion
Moore Threads’ spectacular IPO debut and 469 % share price surge mark one of the biggest events of 2025 in the semiconductor sector. The company stands at the center of China’s ambitions for home-grown AI and GPU technology.
While the road ahead is still heavy with challenges, losses, competition, and geopolitical risks, investor enthusiasm has sent a strong message: Moore Threads could be a cornerstone of the next generation of AI hardware.
For now, all eyes remain on its execution, innovation pace, and ability to translate promise into profits.
FAQ’S
Because demand was huge, the IPO was massively oversubscribed, and the stock opened at roughly 650 yuan, far above the IPO price of 114.28 yuan.
Moore Threads raised about 8 billion yuan, which is roughly $1.1 billion, marking one of the largest onshore Chinese IPOs this year.
No, while revenue has grown strongly, the company still reports net losses due to high R&D and development costs.
The funds will go toward developing next-generation AI and graphics chips, expanding production capacity, and supporting its working capital.
Moore Threads helps China reduce reliance on foreign GPU makers, supporting the national push for semiconductor self-sufficiency and boosting domestic AI infrastructure.
Disclaimer
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
