Battle for the Crown of Million-Dollar Stocks Heats Up as Buying Frenzy Hits Thousand-Dollar Stocks; 8 Stocks, Led by Largan and Faraday, Hit Daily Limits

Taiwan's stock market opened lower on Wednesday (26) but rebounded strongly, closing up 663.16 points (1.47%) at 45,832.62, successfully surpassing all moving averages. Investor interest surged into high-priced stocks, with the battle for the 'Million-Dollar Stock King' title between Invensys (5274-TW) and Chuan Hua (2059-TW) intensifying.

Among the 49 'Thousand-Dollar Stocks' (priced over NT$1,000), a total of eight surged to their daily trading limits. Notably, Wistron NeWeb (6669-TW), Largan Precision (3008-TW), Faraday Technology (3443-TW), Jentech (3653-TW), Perlong Biomedical-Creative (6949-TW), and Pharmason (6446-TW) all simultaneously reached new all-time highs.

Chuan Hua's stock price broke the NT$10,000 threshold on August 4 and soared to a record high of NT$15,085. In contrast, Invensys, long the undisputed 'Stock King,' has seen its share price trend downward recently, fluctuating around the NT$15,000 mark over the past three trading sessions. Chuan Hua closed at NT$14,510 today, while Invensys ended at NT$15,690—less than one daily limit apart—threatening Invensys's long-held dominance.

The eight stocks that hit their daily limits today were Largan, Faraday, Jentech, United Microelectronics (3081-TWO), Hongshu (3131-TWO), E-fuse (3529-TWO), Fushida (6805-TW), and Perlong Biomedical-Creative.

Meanwhile, one stock, WaferSolutions (6223-TWO), a test interface manufacturer, plunged to its daily limit down. Excluding limit-up and limit-down stocks, 32 of the remaining 40 high-priced stocks advanced, six declined, and two—Airtac-KY (1590-TW) and Yongzhi Technology (6683-TWO)—closed flat.

Faraday Technology, a silicon IP provider, was propelled by the AI custom chip theme, surging to a daily limit at NT$6,125, a new all-time high since listing. Foreign brokers noted that after a major volume-driven project with Google (GOOG_US), Faraday has continued to penetrate Microsoft's (MSFT-US) in-house chip development and is rumored to have entered Meta's (META-US) supply chain.

Largan Precision, the optical lens leader, surged to its daily limit within 11 minutes of opening, reaching a record high of NT$6,290, supported by dual catalysts: silicon photonics communications and new Apple iPhone models. Largan recently acquired land and buildings in Taichung's Nantun District—approximately 6,292 ping of land and 7,054 ping of buildings—for NT$3.08 billion to meet future capacity expansion needs.

Wistron NeWeb benefited from strong pull-in demand from a major U.S. cloud service provider, with both its custom chips and GPU servers performing robustly. Institutional investors expect Wistron NeWeb's operations to reach new quarterly highs in the second half of the year. By 2027, rising water-cooled server adoption at AWS, expansion of AMD MI455 servers, and broader AI application deployment are expected to drive explosive profit growth.

Jentech, a thermal solutions provider, is benefiting from the trend of upgrading heat spreaders for AI chips. Analysts project that driven by upgrades for AMD's MI450 and AWS Trainium 4, Jentech's revenue could exceed NT$60 billion next year, with profits potentially doubling.