AI Surge Propels Yuanjie Past Moutai to Become China's Most Expensive Stock

Fueled by the growth of the AI industry, semiconductor firm Yuanjie Technology has emerged as China's most expensive stock, surpassing liquor giant Guizhou Moutai, long considered a flagship of the domestic market. Yuanjie Technology's stock price surged 10.05% to close at 1,445 yuan, while Guizhou Moutai's closing price fell 3.8% to 1,407.24 yuan.

Yuanjie Technology's stock price has risen approximately 14.7 times in about a year from its closing price of 92.01 yuan on April 9 last year. The value of founder Zhang Xingang's stake has increased to 15.28 billion yuan (approximately 3.2 trillion won). Yuanjie, a company that develops, designs, produces, and sells laser chips, has shifted its business strategy to focus on AI computing. Last year, its revenue increased by 138.5% year-on-year to 601 million yuan (approximately 129.3 billion won). Net profit attributable to the parent company turned profitable at 191 million yuan (approximately 41.1 billion won).

In contrast, Guizhou Moutai, once a symbol of domestic consumption, saw its revenue and profit decrease last year for the first time since its listing in 2001. Moutai's revenue last year declined by 1.21% year-on-year to approximately 168.8 billion yuan (about 36.3 trillion won), and net profit attributable to the parent company fell by 4.53% to 82.32 billion yuan (about 17.7 trillion won).

Opinions are divided on how long Yuanjie Technology will maintain its position as the most expensive stock. Some analysts believe it reflects a shift in investor interest towards high-tech stocks. Others caution that it remains to be seen whether it can hold onto the top spot.