This surge follows the company’s successful initial public offering (IPO), which raised nearly $600 million. The IPO values the company at 56.4 times its 2024 per-share revenue. MetaX's revenue has surged fourfold year over year to 1.24 billion yuan ($180 million) during the January–September period, as per the prospectus. However, the company has yet to turn a profit, attributing its loss to substantial R&D expenditures and Nvidia‘s (NASDAQ:NVDA) GPU market monopoly.

MetaX’s debut is part of a larger trend in China’s semiconductor industry. Earlier this month, Moore Threads Technology, known as “China’s Nvidia,” saw its shares surge by over 500% during its Shanghai IPO. This surge followed a robust response to the IPO, which was oversubscribed by more than 4,000 times.

China’s semiconductor industry has been experiencing significant growth, with companies like MetaX and Moore Threads Technology aiming to reduce the country’s reliance on U.S. chips. This push for greater independence comes in response to Beijing’s plans to restrict access to Nvidia’s H200 chips, despite the green light from President Donald Trump for their export to China.

But reports suggested that Nvidia is considering boosting production of its H200 AI chips after demand from Chinese clients outpaced supply, with Alibaba (NYSE:BABA) and ByteDance among those placing large orders.