HK Stock Market Move | SICC Co., Ltd. (02631) has risen more than 6%, institutions bullish on algorithm power upgrade catalyzing SiC demand

SICC Co., Ltd. (02631) rose more than 6%, as of the time of writing, it increased by 6.25%, reaching 63.75 Hong Kong dollars, with a trading volume of 205 million Hong Kong dollars. On the news front, Zheshang previously pointed out that the iteration of AI server cabinet computing power is driving a rapid increase in power density per single cabinet, directly leading to an expansion in power semiconductor demand. With its high resilience and low loss characteristics, SiC is expected to accelerate its penetration rate in high power scenarios. The company is one of the few globally that can achieve mass production of 8-inch silicon carbide substrates and was also the first to introduce 12-inch silicon carbide substrates. With its early mover advantage in large-size substrates and technological accumulation, the company is expected to further seize market share. China Post Securities stated that in core application areas, the company has proactively positioned itself in the electric vehicle sector, obtaining early certification in the IATF16949 automotive standard system by 2022. Its silicon carbide substrate products have been rigorously verified by leading international power semiconductor manufacturers and are now in continuous large-scale production. At the same time, with its proactive technological layout and innovation capabilities, the company has deeply entered the high-growth sectors of renewable energy and AI. Additionally, the company is actively exploring new emerging fields like optics, having partnered with top global optical manufacturers and securing multiple orders.