The semiconductor stocks in Hong Kong are surging. Can OmniVision Group become the 'most valuable ticket'?

On December 9, the China Securities Regulatory Commission (CSRC) issued a filing for overseas listing and issuance, approving the Hong Kong listing plans of seven companies, including OmniVision Group (formerly Will Semiconductor).

This list reveals a collective push by leading companies in hard-tech sectors such as semiconductors, artificial intelligence, and robotics into the Hong Kong capital market.

As one of the largest in revenue and most prominent in market position among them, OmniVision Group's secondary listing in Hong Kong is destined to become a key window for observing the deep integration of China's tech industry chain into the global capital market.

Rebranding for Hong Kong: OmniVision Already a Global Player

From an industry development perspective, the high-performance integrated circuit sector is at the starting point of a new innovation cycle driven by AI. The rapid advancement of large models and generative AI is catalyzing technological convergence and scenario innovation.

AI-powered terminals such as smart cars, AI phones, AIPC, AIoT, AR/VR, etc., are becoming the new wave of carriers. As critical interfaces for information interaction in smart terminals, the importance of image sensors and display solutions is increasingly highlighted.

It can be confidently stated that the semiconductor industry will continue to grow alongside the development of AI terminals for a long time. As a leader in the image sensor segment, OmniVision Group is unlikely to miss such an opportunity.

It has explicitly stated in investor communications that it will continue to focus on "AI+" terminal layouts. According to Frost & Sullivan, the global CIS market is highly concentrated, with the top five players accounting for 84.1% of revenue in 2024, among which OmniVision has consistently ranked among the top three globally.

OmniVision Group's predecessor was Will Semiconductor, whose history dates back to OmniVision Technologies, an image sensor company founded in the U.S. in 1995.

Will Semiconductor was established by Yu Renrong in Shanghai in 2007, listed on the Shanghai Stock Exchange in 2017, and officially acquired OmniVision Technologies in 2019.

In fact, the company initially focused on semiconductor discrete device R&D and electronic component distribution until this acquisition granted Will Semiconductor OmniVision's core technologies and patent portfolio, officially entering the global CMOS image sensor industry. Since then, OmniVision's business has become Will Semiconductor's core operation.

At the same time as announcing its Hong Kong listing in mid-year, the company officially rebranded as OmniVision Group Circuits (Group) Co., Ltd., with a current market cap of RMB 148.7 billion. OmniVision's motivation for global integration is evident from this rebranding.

After all, OmniVision Technologies has spent three decades building an excellent brand reputation in the North American market. A Hong Kong listing + rebranding will only amplify OmniVision Group's intent to gain recognition and broader acceptance on the international capital platform, in turn reinforcing its product positioning and strength.

From an operational perspective, as a globally renowned supplier, OmniVision Technologies has long established stable partnerships with leading global customers, holding dominant market shares in many niche segments. Its global footprint is significant, with over 80% of revenue coming from outside mainland China, aligning well with Hong Kong's highly internationalized capital market.

Timing the Market: AI Recovery Right, But Hong Kong Crowding Wrong?

From a capital market timing perspective, OmniVision's H-share listing comes at a complex juncture.

On one hand, the semiconductor industry's AI-driven recovery is evident. Analog chip giant ADI stated in its latest earnings report that all downstream segments saw sequential and year-on-year growth in Q4 FY2025 (ending November 1, 2025), with industrial up 34% YoY, the highest growth rate. ADI also expects broad-based growth in FY2026 across all end markets, creating a favorable industry backdrop for semiconductor firms.

On the other hand, Hong Kong's market faces liquidity challenges.

OmniVision's Hong Kong listing is not an isolated case. This year, multiple domestic semiconductor firms have filed or initiated H-share listings, forming an unprecedented "Hong Kong listing wave" in the sector.

The industry widely views this trend as reflecting strong demand for USD-denominated capital, international valuation frameworks, and global client resources. A Hong Kong listing could help Chinese IC firms break free from A-share valuation constraints, gain broader capital recognition, and facilitate global competition.

However, the flip side of this "Hong Kong wave" is that, combined with this year's active IPO pace, the concentrated approval of seven hard-tech firms raises concerns about a "new stock blood-draining" effect, potentially impacting liquidity for new listings. As one of the largest and most profitable among them, OmniVision's short-term performance may be affected.

Long-term, however, as Bank of Communications International noted in a recent report, it remains bullish on domestic AI and import substitution opportunities, listing OmniVision as a key focus company.

The bank expects major cloud providers' capex to grow over 30% in 2026 and sees import substitution opportunities in critical supply chains, likely accelerated by policy support during the 15th Five-Year Plan period.

An H-share listing will provide OmniVision with ample funding for R&D and strategic M&A. The company stated it will "fully leverage its advantages in product intelligence and 高端化， enrich its product portfolio under holistic solutions through reasonable external M&A and team expansion while solidifying high-end organic growth in existing product lines."

From a supply chain security and industrial synergy perspective, Hong Kong, as an international financial hub bridging China and global markets, holds unique value amid current geopolitical dynamics. OmniVision's H-share listing will deepen its global footprint, enhancing resilience and flexibility in complex supply chains.

Clearly, OmniVision's H-share listing carries at least two strategic missions: broadening global financing channels and deeply embedding in the AI-driven industrial ecosystem.

The "Double Crown" Strength of a CIS Top Performer

A robust fundamental is the key underpinning.

OmniVision Group achieved record quarterly revenue and adjusted net profit in Q3 2025.

For the first three quarters of 2025, revenue reached RMB 21.78 billion (+15.2% YoY), with net profit hitting RMB 3.21 billion (+35.2% YoY), surpassing full-year 2023 figures.

Core profitability metrics also shone, with gross margin at 30.4% and net margin at 14.7%, up 0.8pp and 2.2pp YoY, respectively.

Behind this counter-trend performance is OmniVision's recent rollout of next-gen image sensors to capture the high-end market.

Currently, the global CMOS image sensor (CIS) industry is in a structural acceleration phase. While smartphone shipments stabilize, high-end demand for high-resolution, large-format, HDR, and AI features persists. Meanwhile, emerging terminals like automotive cameras, ADAS, driver monitoring, smart cockpits, AR/VR, AI glasses, and machine/industrial vision are driving rapid CIS chip demand.

In this landscape, firms with full product lines, high-end design capabilities, and scaled production stand to benefit most. OmniVision, with its leadership in automotive and smartphone CIS plus aggressive plays in emerging markets, is clearly positioned to gain.

Supporting this growth are its leading positions in two key markets. Per Frost & Sullivan, OmniVision ranked first globally in automotive CIS (2024) and third in smartphone CIS.

Automotive has become its strongest growth engine. To meet advanced driver-assistance needs, automotive cameras are evolving toward higher resolution, multifunctionality, intelligence, and integration.

OmniVision's latest TheiaCel-based automotive sensors lead in key performance metrics. Its newly announced 8MP OX08D20, co-developed with Mobileye, began sampling in November, with mass production expected in Q4 2026.

In high-end smartphone CIS, its 50MP, 1-inch HDR sensor OV50X is in mass production, enabling cinematic video on flagship phones. The OV50R, designed for premium main cameras, recently sampled, with mass production slated for Q1 2026.

Beyond tech iterations, OmniVision's AI-related plays are bearing fruit. In smart glasses, it combines image sensors with LCOS display tech, integrating NPUs into CIS.

Guosen Securities noted AR glasses remain the ideal smart glasses solution, highlighting OmniVision's supply chain potential. Beyond consumer use, its LCOS tech also shows promise in AI data center optical circuit switching (OCS).

Financial stability, tech leadership, and diversified positioning collectively underpin OmniVision's resilience.

Capital markets are keenly attuned. Bocom International emphasized: "AI infrastructure buildout will continue through 2026; OmniVision's auto/phone CIS leadership will command valuation premiums."

This outlook already echoes in Hong Kong, where peers like SMIC and Hua Hong trade at higher P/Es than A-shares. OmniVision's dual-primary H-share structure, akin to its HDR sensors, captures value highlights across contrasting market conditions.