Chinese memory chip manufacturer CXMT (ChangXin Memory Technologies) increased its revenue in the first quarter of 2026 to approximately 50.8 billion yuan (about 7.5 billion U.S. dollars) and posted an operating profit of about 35.4 billion yuan (about 5 billion U.S. dollars). Financial Highlights (Q1 2026)Revenue: approx. 7.5 billion U.S. dollars (an increase of over 700% year-over-year)Operating profit: approx. 5 billion U.S. dollarsProfit margin: approx. 70%
My question:
The company’s market capitalization is only 8 billion dollars. Isn’t the stock then extremely undervalued?