🎢 Rally without a business: RRP Semiconductor surged more than 55,000% in 20 months, becoming the world’s best-performing stock above $1B market cap, despite barely any operating activity.
đź‘ĄÂ Two employees, negative revenue: The company recently reported negative sales, just two full-time employees, and no active semiconductor production.
đź”’ Tiny free float, wild moves: Around 98% of shares are held by the founder and close associates. With almost no stock available, small trades triggered massive price jumps.
📢 Narrative beats fundamentals: Social-media hype, India’s chip ambitions, and retail FOMO turned RRP into a proxy for the global AI boom.
🚨 Regulators hit the brakes: India’s market watchdog SEBI is reviewing the rally, and trading has been restricted to once per week.
Background
The company originally operated in real estate and trading. Around two years ago, it changed its name and repositioned itself around semiconductors and AI.
That rebrand was a key trigger for the hype, as the stock was suddenly perceived as an “AI semiconductor play,” even though meaningful chip operations had yet to materialize.
It’s a reminder of how powerful labels and narratives can be in pulling in capital, even when operational substance is still missing.
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