Zhipu AI, a Hong Kong-listed artificial intelligence pioneer trading as Knowledge Atlas Technology, saw its market capitalization surpass HK$1 trillion (US$128 billion) on Monday. Shares skyrocketed as much as 42 percent in morning trading, reaching a peak of HK$2,980.
The surge reflects growing investor enthusiasm for the company as it directly competes with American AI rivals. The milestone comes just after Zhipu released its open-source GLM-5.2 model last week, which features a massive 1-million-token context window.
While the exact revenue and earnings figures for Zhipu are not disclosed in available sources, the market cap milestone signals strong market confidence in its technology. The stock's 42 percent intraday gain represents a significant vote of confidence from investors.
This valuation places Zhipu among the most valuable AI companies globally, though comparisons with US peers like OpenAI and Anthropic remain difficult given different market structures. The rally could attract further attention from global investors looking for exposure to China's AI sector.
Some analysts caution that the high valuation may be driven by speculative fervor rather than underlying fundamentals. The company's ability to sustain growth and generate profits remains unproven at this scale.