In 2026, artificial intelligence firms in China are expected to benefit from increased equity financing, driven by a significant expansion in stock valuations. Analysts predict that this trend will continue following several high-profile public offerings by key players in the sector.
Companies listed on Shanghai and Shenzhen exchanges are currently valued at nearly a 40 percent premium compared to their counterparts on the Nasdaq 100. This disparity enhances the appeal of initial public offerings (IPOs) within the domestic market. Randy Abrams, a technology analyst with UBS Group, highlighted the ongoing support from capital markets during a recent interview in Shanghai.
Approximately 30 to 40 Chinese companies in the semiconductor supply chain are anticipated to pursue IPOs this year, with three to four expected to be major industry leaders, as noted by analyst Jimmy Yu. The success of AI start-up DeepSeek has played a pivotal role in boosting the valuations of Chinese tech stocks, as investors acknowledge the nation's advancements in fields such as humanoid robotics and AI infrastructure.
Prominent AI companies like Moore Threads Technology and Zhipu AI have responded to renewed investor interest by launching listings domestically and in Hong Kong. This surge of activity is viewed as a strategic maneuver to harness the momentum within the rapidly evolving AI sector, as firms seek to secure funding for expansion amid increasing competition with the United States.