ACM Research Rallies 162% as Semiconductor Cleaning Equipment Gains Traction in Advanced Chip Manufacturing

The Fund’s Strategic Conviction

Triata Capital’s aggressive expansion of its ACM Research position during the third quarter reflects growing confidence in the semiconductor equipment sector. The Hong Kong-based fund increased its stake by 413,000 shares, pushing total holdings to 2 million shares valued at $78.39 million as of September 30. This position jump added an estimated $37.20 million in value from the previous quarter, signaling institutional appetite for specialized chip manufacturing solutions.

Market Performance Reflects Sector Momentum

ACM Research shares have climbed dramatically, reaching $39.86 with a year-over-year gain of 162%—substantially outpacing the S&P 500’s 15.5% advance. The company commands a $2.59 billion market capitalization, with trailing twelve-month revenue of $880.35 million and net income of $117.11 million. These metrics underscore the financial health supporting the stock’s impressive run.

Why This Fund Sees Opportunity

ACM Research’s placement as Triata’s fourth-largest holding, representing 9.15% of the fund’s $856.81 million in U.S. equity holdings, reflects a deliberate bet on specialized semiconductor infrastructure. The company’s portfolio extends beyond consumer electronics cycles into a critical niche: advanced node chip production demands increasingly sophisticated wafer processing.

ACM develops and distributes single-wafer wet cleaning equipment and electrochemical plating systems under its Ultra C brand. These solutions address the complex requirements of leading-edge semiconductor manufacturing, where process yields and precision directly impact chip quality. The company serves global fabricators pursuing advanced performance chip capabilities, leveraging proprietary technologies for both 2D and 3D device architectures.

Fundamentals Support the Narrative

Third-quarter results validated the bullish thesis. Revenue grew 32% year-over-year to $269 million, driven by strength across single-wafer cleaning, electrochemical plating, and advanced packaging segments. While gross margin contracted to 42% from over 50% annually, this reflects expansion costs and product mix shifts rather than weakening demand signals. Operating income reached nearly $29 million, and the company maintains over $1.1 billion in cash reserves—reinforced by approximately $623 million raised through its Shanghai subsidiary on the STAR Market.

The Broader Investment Logic

Triata’s top holdings concentrate heavily on China-linked infrastructure and internet exposure, so positioning ACM Research as a top-five stake aligns with a multi-year thesis on domestic semiconductor buildout. The fund’s other major positions include PDD Holdings ($336.30 million, 39.25% of AUM), VNET ($123.42 million, 14.40% of AUM), and GDS Holdings ($93.19 million, 10.88% of AUM)—collectively painting a picture of confidence in Chinese technology infrastructure expansion.

For investors, ACM Research exemplifies how specialized equipment makers capture outsized growth when technological complexity drives incremental tool demand, even amid cooling headline semiconductor spending. The company’s positioning in the performance chip manufacturing ecosystem suggests its addressable market remains in early growth phases.