By Li Panpan

JW Insights’ Jiwei Index closed at 4236.07 points on June 8, down 8.69 points, or 0.2% from the previous day, but an increase of 4.26% from the last week of 4062.89 points on June 1. Despite the slight increase in the recent month, the JiWei Index has been on a general downturn in 2022 so far. 

Among the 118 listed semiconductor companies on JW Insights’ tracking list, the market value of 16 companies rose. Among them are Maxscend(卓胜微), Sugon(中科曙光), and Nine Star Group(纳思达); Nine companies fell in market value including Huate Gas(华特气体), Raytron Technology(睿创微纳), and Bright Power Semiconductor(晶丰明源).

Yan Xiang, an analyst at Founder Securities, said that with the loosened pandemic controls and policies to stabilize economic growth, 2863 points of the Shanghai Composite Index on April 27 have become the lowest for the current market situation. However, it takes time for the market to recover, and there won’t be a V-shaped market trend. It will be around 3200 points for a while because it takes time from introducing the policy to improving the market data. The overseas markets such as Europe and the United States still have a negative impact on it for their economic recession and continuous interest rate hikes.

JiWei Index was launched by JW Insights in March 2020. It selected 30 constituent stocks from its tracking list of 118 Chinese semiconductor companies based on their overall A-share market performance, total assets, and revenue scale.

The list covers companies in the semiconductor industry chain, including electronic components, materials, equipment, design, manufacturing, IDM, packaging and testing, and distribution.

The selection of the Jiwei Index’s constituent stocks is based on the following factors:

1. Secondary market: whether with influential  total market value and whether the fluctuations can objectively reflect the trend of the whole industry

2.Company scale: whether with significant total assets and can represent a market segment 

3. Annual performance: whether with good operating income and net profit

4. Industry status: whether with a dominant position in the industry

5.Extensive applications: whether with extensive segmented end markets

Technological advancement: whether with advanced core technology and  sufficient growth potential