Northeast Securities: Assigns a valuation range of ¥3.2 trillion to ¥5.7 trillion to Longxin Technology

July 27th: Today, Changxin Technology was listed. Northeast Securities used three methods—market share anchoring, PE based on profit split, and unit capacity validation—to cross-validate, giving a valuation range of ¥32 trillion to ¥57 trillion.

Northeast Securities pointed out that by 2025, Changxin's minority shareholder profit and loss ratio will be as high as 73.76%, much higher than Samsung, Hynix, and Micron (all less than 1%), and this part of the valuation must be excluded. Assuming that the minority shareholder profit and loss ratio remains unchanged at 24% in 2026 and 2027, the conclusions of the three methods are as follows: a reasonable valuation of ¥32 trillion to ¥57 trillion after excluding the impact of minority shareholder profit and loss.