China A-share · SSE · 688256
Cambricon (688256) stock analysis: valuation and financials
软件和信息技术服务业
¥916.42 -0.5% Price as of Oct 21, 2026
Domestic AI chips' narrow moat: FY2025 revenue up 453.2%, ROIC 32.85%, net cash RMB 4.776 billion, but FCF -RMB 1.067 billion, PS 59.5x, all three scenario valuations below the RMB 576.3 billion market cap.
- Market cap
- ¥576.3B
- P/E
- 173.0x
- EV/Sales
- 59.5x
- FCF yield
- -0.3%
- 52-week range
- ¥651.36 – ¥1,595.55
Research as of Oct 21, 2026 · Translated from the Chinese report
Business quality scorecard
- Growth100
- Profitability87
- Cash flow0
- Balance sheet100
- Capital allocation82
- Innovation62
- Valuation0
0–100, computed from reported financials; higher is better, and a higher valuation score means cheaper.
How it makes money
Sells AI chips, boards, complete systems and intelligent computing clusters to cloud server, edge and device customers; FY2025 revenue RMB 6.497 billion, operating margin 31.7%, with cloud chips and clusters the main profit source.
Financials by year
| FY2021Jan–Dec 2021 | FY2022Jan–Dec 2022 | FY2023Jan–Dec 2023 | FY2024Jan–Dec 2024 | FY2025Jan–Dec 2025 | |
|---|---|---|---|---|---|
| Revenue | ¥721.0M | ¥729.0M | ¥709.4M | ¥1.2B | ¥6.5B |
| Revenue growth | +57.1% | +1.1% | -2.7% | +65.6% | +453.2% |
| Gross margin | 62.4% | 65.8% | 69.2% | 56.7% | 55.2% |
| Operating margin | -114.3% | -181.6% | -123.5% | -38.8% | 31.7% |
| Net income | -¥824.9M | -¥1.3B | -¥848.4M | -¥452.3M | ¥2.1B |
| Free cash flow | -¥1.4B | -¥1.6B | -¥695.9M | -¥2.0B | -¥1.1B |
| FCF margin | -191.1% | -221.4% | -98.1% | -168.9% | -16.4% |
Amounts in CNY · What is free cash flow?
Margins Gross margin 55.15% (prior year 56.71%), TTM 54.98%, recent quarters 54.2%–56.1%; operating margin rose from -38.8% to 31.7%, as revenue rose 453.2% while R&D rose only 11.1%.
- Cash flow ConcernTTM operating cash flow -RMB 1.098 billion, net profit RMB 3.332 billion, cash conversion rate -3.58x; FY2025 operating cash flow -RMB 498 million versus net profit RMB 2.059 billion.
- Debt LowNet cash RMB 4.776 billion, net debt/EBITDA -2.04x; total interest-bearing debt only RMB 16.96 million, debt-to-equity ratio 0.13%.
Balance sheet Leverage · Net cash
- Cash & short-term investments
- ¥4.8B
- Total debt
- ¥17.0M
- Net cash
- ¥4.8B
- Interest coverage
- 205.9x
- Current ratio
- 3.7x
As of Jun 30, 2026 · Amounts in CNY · How to read a balance sheet
Management and track record
- Management AdequateStrong execution: FY2025 revenue RMB 6.497 billion (+453.2%), net profit RMB 2.059 billion, ROIC rose from -12.9% to 32.85%.
Valuation range
Implied value per share · Price when researched: ¥916.42
Each scenario assumes five years of revenue growth, an FCF margin and an exit multiple, discounted to today. The assumptions and sensitivities are in the full report.
The full report also covers
- Revenue, growth and outlook of each segment
- Moat and main competitors
- Key risks
- Capital allocation: where the free cash flow went
- What management promised, and what they delivered
- Scenario assumptions and sensitivities
- A source for every claim
- Ask AI about this company
The full report is for members.