美银-中国股票策略：中国人工智能-从本土化到商业化-Equity Strategy-China：China AI：from localization to monetization-20260917

Accessibleversion

BofAGLOBALRESEARCH

BofASECURIES

EquityStrategy-China

ChinaAl:fromlocalizationtomonetization

EquityStrategy

Fromtechnologycatch-uptoecosystemcompetition

China'sAllocalizationismovingfrompolicyambitiontocommercialreality.Domesticcapabilitiesandadoptionareadvancingdespitegapsinleading-edgehardware,whileimprovementsinmodelefficiencyandsystemoptimizationcouldsupportcommercialviabilitybeforefulltechnologicalself-sufficiency.Competitionisincreasinglyshiftingfromtechnologycatch-uptoecosystemscaleandmonetization.Technologyprogressandhigh-profilelistingsarebroadeningChina'sinvestableAluniverse,offeringdiverseopportunitiesacrosslocalization,globalsupplychainsandapplications.

Localization:gainingsharesandclosinggaps

Chinacontinuestomakeprogresstowardtechnologyself-sufficiency,albeitunevenly

acrosssegments.InAlaccelerators,domesticvendors'revenuemarketshareroseto

nearly50%in2025andcouldapproach80%by2028E,withHuaweileadingintrainingcapabilitiesandotherlocalplayersgainingtractionininference.Inmemory,CXMT's

globalDRAMsharerosefrom3-4%in2024to10%in2Q26,whileYMTC'sNANDshareincreasedfrom7-8%to14%.CXMTremainsseveralyearsbehindgloballeaders,whileYMTCisclosertotheNANDfrontier.Insemiequipment,domesticsuppliers'market

sharereachednearly30%in2025,upfrom22%in2019,thoughsignificantgapsremaininlithography,ionimplantation,andmetrology/inspection.Meanwhile,Chineseopen-

weightLLMsarenarrowingthecapabilitygapwithleadingproprietarymodels.

Monetization:theAIvaluechainsmilecurve

WeseeChina'sAlstackevolvingintoabarbellprofitstructure,withthestrongest

economicsconcentratedatbothendsofthevaluechain:strategichardwarebottleneckssuchasAlaccelerators,semiequipment,foundries,andmemorybenefitfromhighentrybarriersandcapitalintensity,whilecloudserviceprovidersandlargeAlplatformsenjoyscaleadvantages,richusecase,andcross-sellingopportunities.Bycontrast,standaloneLLMlabsandphysicalAlmanufacturersfacelowerswitchingcostsandmoreintense

competition,limitingpricingpowerandprofitability.

ChinaAlstocks:threedifferentthemestoplay

WegroupChinaAl-relatedstocksintothreebucketswithdistinctrisk-rewardprofiles.1)ChinaAllocalizationbeneficiariesarealignedwithpolicyprioritiesandoffer

diversificationfromtheUSAlcycle,butarewellownedandrichlyvalued.2)Al

infrastructureexportersareprovenwinnersfromglobalAlbuildouts,thoughtheyarehighlyexposedtotheUSspendingcyclewithemergingsanctionrisks.3)Alapplicationnamesrepresenttheultimatemonetizationlayerwithlong-termpotential,butface

patrick.pan2@

near-termchallengesfromintensecompetitionandthelackofaclearkillerAPP.IfUSAlCAPEXslows,exporterswouldlikelyfacethegreatestearningsandvaluationpressure,localizationplayscouldseemultiplecompressionbutcreatebuy-the-dipopportunities,whileselecteddeep-valueapplicationnamesmaybemoredefensive.

gina.wu@

Tradingideasandinvestmentstrategiesdiscussedhereinmaygiverisetosignificantriskandarenotsuitableforallinvestors.Investorsshouldhaveexperienceinrelevantmarketsandthefinancial

resourcestoabsorbanylossesarisingfromapplyingtheseideasorstrategies.

>>Employedbyanon-USaffiliateofBofASandisnotregistered/qualifiedasaresearchanalystundertheFINRArules.

Referto"OtherImportantDisclosures'forinformationoncertainBofASecuritiesentitiesthattakeresponsibilityfortheinformationhereininparticularjurisdictions.

BofASecuritiesdoesandseekstodobusinesswithissuerscoveredinitsresearch

reports.Asaresult,investorsshouldbeawarethatthefirmmayhaveaconflictof

Refertoimportantdisclosuresonpage70to72.13018937

interestthatcouldaffecttheobjectivityofthisreport.Investorsshouldconsiderthisreportasonlyasinglefactorinmakingtheirinvestmentdecision.

17September2026

EquityStrategyChina

WinnieWu>>

ResearchAnalyst

winnie.wu@

MerrillLynch(HongKong)+85235083058

DaleyLi,CFA>>ResearchAnalyst

MerrillLynch(HongKong)daley.li2@

AlexLiu>>

ResearchAnalyst

MerillLynch(HongKong)

alex.liu3@

MingHsunLee,CFA>>ResearchAnalyst

MerillLynch(HongKong)

minghsun.lee@

DaiShen>>

ResearchAnalyst

MerrillLynch(HongKong)

dai.shen@

JoyceJu>>

ResearchAnalyst

MerillLynch(HongKong)

joyce.ju@

HarryZhuang>>

ResearchAnayst

MerrillLynch(HongKong)

harry.zhuang@

SummerWang,CFA>>ResearchAnayst

MerrillLynch(HongKong)

summer.wang@

JoannaDu>>

ResearchAnalyst

MerrillLynch(HongKong)

joanna.du@

ChrisOberoi>>

chris.oberoi@bofa.com

HeadofAPACResearchMerrillLynch(HongKong)

PatrickPan,CFA>>Strategist

+85235084601

MerrillLynch(HongKong)

GinaWu>>Strategist

+85235088008

MerrillLynch(HongKong)

Seeglossaryonpage68

2EquityStrategy-China|17September2026

Contents

Localization:fromchipstosystems4

LocalchampionsgainingshareacrosstheAIstack4

Closingthetechnologicalgapatdifferentspeeds5

ThenextAIraceismonetization8

AIvaluechaineconomics:asmilecurve8

ThreeinvestmentthemesinChinaAI12

Local,globalandapplication:distinctrisk-returnprofiles12

Thetwoecosystems:notasimpledecouplingstory14

ChinaAIstockmapping15

AIaccelerator18

Memory23

Semiconductorequipment30

AImodel34

StatusquoofChinaAImodellandscape35

USandChinabringdistinctAImodeldevelopmentstrengths38

Smarterspend&AIsegmentation:acheap-and-capablemarketemerging40

Tokenexport:morecomplicatedthanjustlow-powercostadvantage45

AImonetization:enterprise-driven,cloud-centric,oversearamping46

Alibaba:aclearexampleofecosystem-levelAImonetization47

IndependentAIlabs:fastnear-termgrowth,trainingfirst,eagerforcapital,52

lookingoverseas

Software55

Datacenter57

Humanoidrobot59

obustshipmentvolumegrowthin202659

Competitionlandscape:USandChinatakethelead60

From&Dtoindustrial&commercialapplications61

BOMcosttrend:toreachUSD16kinChinain2030E65

Glossary68

BofAGLOBALRESEARCH

Exhibit1:WecategorizeChinaAlrelatedsectors/stocksintothreegroupswithdifferentinvestmentopportunitiesandrisks

China'sAlecosystemandinvestmentframework

CHINAAIECOSYSTEMANDINVESTMENTFRAMEWORK

FromsovereignAlcapabilityandinfrastructuretoreal-worldproductivity

ChinaAl/SemiLocalization

Accelerator

Semi

Equipment

MemoryFoundry

EDA

AIData

Center

Drivers

·Strongpolicy

supportfortechself-relianceandnationalsecurity

·Continuedtechnology

progress

Economics

·Strategicvalue>economicvalue

marketsharegains

·HighCAPEXandR&Dcosts,longpaybackcycle

Risks

·USinvestmentortradebans

bottleneck

·Techgapvs

globalleaders

PolicysupportandChina-drivengrowth,

richvaluation

GlobalAIHardware/lnfrastructure

PCB/

CCL

Optics/

CPO

AIPowerAICooling

Cable/

Connector

Passive

Component

OSAT

Switch/

Networking

Drivers

·GlobalAl

infrastructurebuildout

·Highercomputedensity

·Power&thermalconstraints

EconomicsRisks

·Cyclicalityin

·Revenuescales·TechmigrationwithAICAPEX

·SolidmarginsCAPEX

·Multi-yeargrowth·Customer

visibilityconcentration

·Strongexecution·EmergingUSsanctions

Provensuccess,

highlycorrelatedwiththeUScycle

AIApplication

Robotics/

Automation

LLMHumanoid

EV/AVEdgeDeviceConsumerAIEnterpriseAlAIAgent

Drivers

·Costefficiencyandproductivitygains

·Newrevenueopportunities

·Betterlivingstandards

·Enterprise-lednow,consumermonetizationtocome

Economics

·Largepotentiallong-termgrowthandprofitpool

·Recurringrevenueopportunities

·Highoperatingleverage

·Potentially“winner-takes-all”

Risks

·Lackofaclear“killerAPP”

·Potentiallyhighcompetitionandlowswitchingcosts

·Pricingandmarginpressure

·Complianceandgovernancerisks

Long-termpotential,near-termmonetizationchallenged

Source:BofAGlobalResearch

BofAGLOBALRESEARCH

EquityStrategy-China|17September20263

4EquityStrategy-China|17September2026

Localization:fromchipstosystems

AIlocalizationinChinaisnolongerjustapolicyambition.Domesticcapabilitiescontinuetoimprove,localplayersaregainingmarketshare,adoptionisbroadening,andthe

ecosystemisbecomingmoreself-sustaining.WhiledevelopmentremainsunevenandChinastilllagsgloballeadersatthetechnologicalfrontier,progressistangibleandthelong-termtrajectoryisincreasinglyevident.

China’sresponsetohardwareconstraintsisfocusedonsystem-leveloptimization.

atherthanrelyingonasinglebreakthroughchip,Chinaisleveraginglargerdomesticcomputeclusters,fasterinterconnects,software-hardwareco-design,improved

scheduling,andmorecompute-efficientmodelstonarrowtheperformancegap.ecentdeploymentssuggestthatadvancedmodelscanbetrainedondomesticAIclusters,

whilenewsoftwareframeworksareimprovinginteroperabilityacrossmultipledomesticacceleratorplatforms.Asaresult,thelocalizationstoryisevolvingfromcomponent

substitutiontowardfull-stackoptimization.

LocalchampionsgainingshareacrosstheAIstack

InAIaccelerators,NvidiastillledChina’smarketwitha47%revenuesharein2025,butHuaweihadalreadyreached35.5%,makingitthecleardomesticleader.Basedonourestimates,Chinesevendorscollectivelycapturedabout50%ofmarketrevenuein2025,vslessthan30%in2024,andtheirshareisexpectedtoreachnearly80%by2028E.

Inmemory,ChinaremainswellbehindtheleadingedgeinHBM,butisgainingshare

rapidlyinconventionalDAMandNAND.CXMT’sglobalDAMrevenuesharehasrisenfromabout3-4%in2024to~10%by2Q26,whileYMTC’sshareinNANDincreased

from7-8%to~14%overthesameperiod.Althoughbothfirmsremainconcentratedinlessadvancedandconsumer-orientedproducts,growingscale,customeradoption,andmanufacturingexperienceshouldhelpacceleratetechnologycatch-up.

Exhibit2:ChineseAIaccelerators’marketsharereached~50%in2025RevenueandmarketshareofdomesticAIacceleratorvendorsinChina

90SDbnSales(LHS)90%80Marketshare(RHS)80%7070%6060%5050%4040%3030%2020%1010%-0%

202420252026E2027E2028E

Source:Companyreports,IDC,BofAestimates

BofAGLOBALRESEARCH

Exhibit3:CXMTandYMTCgainedmarketshareinDRAMandNANDGlobalrevenuemarketshareofChinesememoryfirms

CXMTYMTC

14%

12%

10%

8%

6%

4%

2%

0%

16%

1Q242Q243Q244Q241Q252Q253Q254Q251Q262Q26

Source:Companyreports,BofAestimatesbasedonaggregaterevenueofknownsuppliers

BofAGLOBALRESEARCH

Semiequipmentisanothermajorlocalizationbattleground.AccordingtoSEMI.org,

China’sequipmentbillingsreachedUSD49.3bnin2025,broadlyflatYoYbutupfrom

USD19bnin2020,implyingafive-yearCAGof21%.Chinaremainedtheworld’slargestequipmentmarketforthesixthconsecutiveyear.BasedonChina’sequipmentimport

data,weestimatethatthedomesticsuppliers’sharereachedaround30%in2025,upfrom22%in2019.However,localizationremainshighlyuneven:Chinesevendorshavemadenotableprogressincleaning,etching,CMPanddeposition,whileadvanced

lithography,ionimplanting,andmetrology/inspectionarestillbottleneckareas.

EquityStrategy-China|17September20265

Exhibit4:Domesticsuppliersachievednotablemarketshares,whilelithography,ionimplantingandmetrology/inspectionarestillthebottlenecksChinaWFElocalizationprogressbyequipmenttype

Equipment

Localsuppliers’marketshare

Domesticplayers

Globalleaders

riorto2025

now

Lithography

<5%

<5%

SMEE,Yuliangsheng

ASML,Nikon,Canon

Etching

near30%

near40%

AMEC,NARA,E-Town

LamResearch,TEL,AMAT

Deposition

near20%

>40%

NARA,Piotech,Leadmicro,SiCarrier

AMAT,LamResearch,TEL

Ionimplantation

<5%

10-15%

Wanye,CETC,NARA

AMAT

PRdevelopment

near10%

>10%

Kingsemi

TEL

CMP

>30%

>50%

Hwatsing

AMAT,EBARA

Cleaning&PRstripping

>35%

>50%

NARA,ACMResearch,Kingsemi,E-Town

SCREEN,TEL,LamResearch

Metrology/inspection

na

>10%

Skyverse,Jingce,SiCarrier

KLA,AMAT

Source:BofAGlobalResearchestimates

BofAGLOBALRESEARCH

Closingthetechnologicalgapatdifferentspeeds

DomesticAIacceleratorsaregainingground,withHuaweileadinginsingle-chip

performance,clearroadmapandtrainingcapabilities.OtherChineseplayersaregettingcompetitiveininference,whilerecentlistingsimprovedtransparencyanddisclosure.

Memorybandwidth(TB/s)

8

6

4

2

ML

0

Exhibit5:DomesticAIchipsarenarrowingthegapvs.Nvidia’sH100/H20chips,especiallyHuaweiSelectedAIacceleratorperformanceacrossglobalanddomesticvendors

Nvid

iaH

eofthebu

uawei

Cambricon

sentsGPU

MetaX

interconne

Biren

Enf

th(GB/s)o

lame

MooreThrea

dsIluvaH200

tarCoreX

*Thesiz

bblerepre

fthechip.

ctbandwid

H20

590

C600

Ascend

950DT

Ascend

910C

T21

BR106L

A1C500

00

370-X8

TiS4000

angai150

Ascend9

50PR

H100

010020030040050060070080090010001100

Computingpower(FP16/TFLOPS)

Source:Companies,BofAGlobalResearch;Note:InterconnectbandwidthforIluvatarTiangai‑150isnotdisclosed;valuesshownarebasedonestimates

BofAGLOBALRESEARCH

Chineseopen-weightLLMsarerapidlynarrowingthegapwithproprietaryfrontier

models.ecentreleasessuchasDeepSeekV4.1andKimiK3havedemonstrated

competitivereasoning,coding,andagenticcapabilitiesatmateriallylowerinference

costs.Asaresult,ChineseLLMsarecarvingoutthe“value-for-money”segmentoftheglobalAImarket.Whiletheymaynotconsistentlyleadatthefrontier,theyare

increasinglygoodenoughformainstreamworkloadsandsignificantlycheapertodeploy.

Atthesametime,USofficialsandAIcompanieshaveaccusedsomeChinesedevelopersofusingmodeldistillationtoaccelerateprogress,whileChinesefirmsandauthorities

arguethattheiradvancesreflectopen-sourceinnovationandengineeringimprovements.

egardless,thedebatehighlightshowAIcompetitionisextendingbeyond

semiconductorsintomodels,intellectualproperty,andecosystemleadership.

BofAGLOBALRESEARCH

6EquityStrategy-China|17September2026

Exhibit6:Chinesemodelsaregettingcompetitive

BenchmarkcomparisonofselectedChineseandUSmodels

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

■DeepSeek-V4.1Flash(Max)■BABAQwen-3.8Max

■Gemini-3.8Flash(High)■GPT-6Astra(Max)

■TencentHy4Preview

■ClaudeFable5.1(Max)

■ByteDanceSeed2.1Pro

SciCodeTerminal-Benchv2.1AA-Omniscience

AA-OmniscienceHallucinationRate

AAIntelligenceIndexGPQADiamondHLE

v4.3

Accuracy

ReasoningCodingKnowledge

Source:OpenRouter,ArtificalAnalysis,ValsAl,companywebsites,BofAGlobalResearch(DataasofSeptember11,2026)

BofAGLOBALRESEARCH

Inmemory,CXMTisafewyearsbehindglobalDRAMleadersbutisincreasingly

competitiveinmainstreamproducts,havingmassproducedDDR5andLPDDR6.FurtherprogresstoG5dependsondomesticequipmentcapabilities,whileprocessand

packagingconstraintsarelikelytolimitlarge-scaleHBMoutputoverthenext1-2years.

YMTCisadvancingfrom232-layerto260+layerNANDin2026andtoward300+

thereafter.IttrailstheglobalNANDfrontierbyroughlyoneyear,withcompetitivelayerdensityandproprietaryXtackingarchitecture,butstillfacesyieldandscalechallenges.

Exhibit7:CXMT'sG4issimilartotier-1suppliers'1ztechnology

MajorDRAMmanufacturers'technologyroadmap

Samsung

SKHynix

Micron

KioxiaandJV

YMTC

2014201520162017201820192020202120222023202420252026

Samsung

SKHynix

Micron

NanyaTech

Winbond

DXMT

Source:Companies,mediareports*Startingpointmeansthemassproductioncommencementdate

BofAGLOBALRESEARCH

Exhibit8:YMTC'stechnologylevelisclosetotier-1suppliers'

MajorNANDmanufacturers'technologyroadmap

2014201520162017201820192020202120222023202420252026

128/136L

176L

72L

128L

238L

32L

64L

128L

176L

232L

276L

48L

162L

332L

32L

64L

128L

232L

294L

Source:Companies,mediareports*Startingpointmeansthemassproductioncommencementdate

BofAGLOBALRESEARCH

EquityStrategy-China|17September20267

Advanced-nodecapacityisexpanding.CXMT’snewShanghaifabtargets40-50kwaferspermonthofHBMproductionfrom2027,accordingtoTrendForce.Morebroadly,

advancedlogicat28nm-and-belowandmemoryaccountedfornearly19%ofChina’stotalwafercapacityin2Q26,upfrom15-16%in2024,basedonourestimates.Weexpectthissharetoreach23-24%by2028E.

InphysicalAI,Chinaisleveragingthesameadvantagesthatunderpinneditsrisein

smartphonesandEVs:manufacturingscale,supply-chaindepth,rapidproductiterationandtheabilitytogeneratelargevolumesofreal-worlddeploymentdata.Basedonourestimates,Chinesevendorsaccountedfornearly95%ofglobalhumanoidrobot

shipmentsin2025,ledbyAgiBotandUnitree.WhileChina’ssharemaymoderateasTesla,Figureandotherglobalplayersscaleproduction,itshouldremaintheindustry’slargestmanufacturingbaseoverthenextseveralyears.

28%

24%

20%

16%

12%

8%

4%

0%

LogicDRAMNAND

Exhibit9:FabcapacityismovingtowardadvancednodesandmemoryAdvancedlogic(28nm-and-below)andmemoryas%ofChina’stotalwafercapacityinChinafabs

Source:BofAGlobalResearchestimates

BofAGLOBALRESEARCH

Exhibit10:Chinashouldaccountfornearly60%marketshareinglobalhumanoidrobotsalesin2027-28E

BofAglobalhumanoidrobotshipmentforecast

Globalhumanoidrobotsales

Sales%fromChinaOEMs(RHS)

100%

80%

1,200

95%

kunit1,4001,200

800

1,000

65%

60%

60%

250

58%

500

55%

800

57%

40%

600

400

90

20%

20

200

0%

0

20252026E2027E2028E2029E2030E

Source:BofAGlobalResearchestimates

BofAGLOBALRESEARCH

BofAGIOBAIRESFARCH

ThenextAIraceismonetization

WesternexportcontrolshaveacceleratedChina'sdomesticsubstitution,butstrategic

importancedoesnotguaranteecommercialsustainability.Policysupportcanenlargetheaddressablemarket,butitcanalsoattractexcessivecapitalandnewentrants,leadingtoduplicatedinvestment,pricecompetition,andmarginpressure.Ultimately,localizationcreatestheopportunity,butonlyplayersthatbuilddurablemoatsandtranslate

technologyleadershipintosustainablemonetizationwillcapturelong-termvalue.

Alvaluechaineconomics:asmilecurve

China'sAlstackisdevelopingabarbellprofitstructure,withthestrongesteconomics

concentratedatbothendsofthevaluechain.Ononeside,strategicbottleneckssuchasAlaccelerators,semiequipment,foundries,andmemorybenefitfromhighcapital

intensity,longdevelopmentcycles,deeptechnicalknow-how,andregulatorybarriers,

creatingdurablecompetitivemoats.Ontheotherside,scaledcloudandinternet

platformsbenefitfromdiverseusecases,scaleadvantages,cross-sellingopportunitiesandnetworkeffectsthatcouldsupportsustainablemonetization.Bycontrast,themiddlelayers,includingstandaloneLLMlabsandphysicalAlmanufacturers,couldfacelower

switchingcosts,fasterimitation,heavyinvestmentandintensepricecompetition,resultinginweakerpricingpowerandprofitability.Long-termvaluecreationcouldthereforeconcentrateinstrategicbottlenecksandlarge-scaleecosystems.

Exhibit11:Long-termvaluationcreationconcentratesinstrategicbottlenecksandlargeecosystems

Alvaluechainsmilecurve:moatandmonetization

AIVALUECHAINSMILECURVE

LargeEcosystem

·Scale,distribution&data

·Richusecases

·Cross-sellingpotential

·Networkeffects

AISuperAPPs

Memory

SemiEquipment

CloudServiceProviders

Moat/

Monetization

EnterpriseAl

LiquidCoolingAIPower

PhysicalAIMakers

Low

StrategicBottlenecksHardwareEnablersOpen/CompetitiveApplicationEnablersScaledPlatforms

HighEntryBarrier

·Capitalintensity

·Technologycomplexity

·Processknow-how

·Regulatorysupport

Foundries

AlAccelerators

Optics/CPOPCB/CCL

ConsumerAl

LLMLabs

ODMs

High

Source:BofAGlobalResearch

BofAGLOBALRESEARCH

Strategicbottlenecks:cyclicalrecovery+structuralgrowth

Chinesefoundrypricingappearstohavetroughed.SMIC'sblendedaveragesellingpricerosefromUSD904per8-inch-equivalentwaferin1H25toUSD965in1H26,whileHuaHong'sASPincreasedfromUSD437in1H25toUSD461in1H26.Therecoveryreflectshighutilization,strongerAl-relatedspecialtydemandandselectivepriceincreases.In2Q26,reportedutilizationreached94%atSMICand103%atHuaHong,supporting

greaterpricingdiscipline.

Semiequipmentoffersastructuraldomestic-substitutionopportunity.USrestrictionshaveacceleratedtheadoptionofChinesetools,withNAURArisingtofifthandAMECtothirteenthamongglobalsemi-equipmentsuppliersby2025sales.NAURAandAMEC

bothfacedgross-marginpressurein2025astheyrampedandqualifiednewproducts,butbothremainprofitableandtargetlong-termgrossmarginsabove40%.Thekey

8EquityStrategy-China|17September2026

EquityStrategy-China|17September20269

questioniswhethertoday’sinvestmentcantranslateintoalargerinstalledbase,

recurringserviceandupgraderevenue,andrationalpricingacrossdomesticcompetitors.

Exhibit12:Foundrypricingenjoyedmodestimprovementin1H26BlendedASPofChinesefoundries,SD/wafer(8”equivalent)

1,200SD,8''eqiv.

1,000

800

600

400

200

1Q20

3Q20

1Q21

3Q21

1Q22

3Q22

1Q23

3Q23

1Q24

3Q24

1Q25

3Q25

1Q26

0SMICHuaHong

Source:Companyreports

BofAGLOBALRESEARCH

Exhibit13:SemiequipmentplayersaimtostabilizeGMGrossmarginofleadingChinesesemiequipmentplayers

44%NARAAMEC43%

42%

41%

40%

39%

38%

37%

202420252026E2027E

Source:Companyreports,Bloombergconsensus

BofAGLOBALRESEARCH

Memoryismorecyclical.CXMT’soperatingmarginreached79%in1H26,broadlyinlinewithgloballeadersandindicativeofattractiveeconomicsatcurrentpricing.H