--- title: "Hong Kong Stock Movement: HUA HONG GRACE falls 10%: Q2 net profit below expectations, Q3 guidance lower than market" type: "News" locale: "en" url: "https://longbridge.com/en/news/295870756.md" description: "HUA HONG GRACE fell 10.05%; SMIC rose 4.96%, with a transaction volume of HKD 4.711 billion; GigaDevice rose 2.59%, with a transaction volume of HKD 726 million; Montage Technology rose 2.16%, with a transaction volume of HKD 268 million; Tenstorrent rose 0.24%, with a market capitalization of HKD 112.6 billion" datetime: "2026-08-14T02:04:40.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/295870756.md) - [en](https://longbridge.com/en/news/295870756.md) - [zh-HK](https://longbridge.com/zh-HK/news/295870756.md) generator: "portal-rs" --- # Hong Kong Stock Movement: HUA HONG GRACE falls 10%: Q2 net profit below expectations, Q3 guidance lower than market **Hong Kong Stock Movement** HUA HONG GRACE fell 10.05%. Based on recent news, 1. On August 13, HUA HONG GRACE announced its second-quarter results, with sales revenue reaching a record high of USD 717.5 million, a year-on-year increase of 26.8%, but net profit fell short of market expectations, leading to a decline in stock price. 2. On August 13, the company's senior executive Zhou Weiping resigned for work-related reasons, raising market concerns about management changes, which affected the stock price. 3. On August 13, the company projected third-quarter sales revenue to be between USD 770 million and USD 780 million, below the market expectation of USD 822.3 million, which dampened investor confidence. Demand growth in the semiconductor industry is driven by AI. **Stocks with High Trading Volume in the Industry** SMIC rose 4.96%, with a trading volume of HKD 4.711 billion, and no significant news recently. The trading is active, with clear capital flow. Considering the sector and industry trends, this stock shows significant volatility, and the specific reasons need further observation. GigaDevice rose 2.59%. Based on recent key news: 1. On August 11, GigaDevice's wholly-owned subsidiary planned to invest USD 100 million to subscribe for a 25% fund share of Yunfeng Investment V, L.P. This fund will invest in companies with significant business layouts, expansion potential, or strategic importance to related businesses, focusing on technology and related services. This investment plan demonstrates the company's strategic layout in the technology sector, boosting market confidence and driving stock price up. 2. On August 11, despite facing downward pressure on stock prices recently, Citibank suggested that profit growth may not be fully realized until 2027, but the management's strategic shift to increase RMB loans reflects a pragmatic adaptation to the current interest rate cycle. This move indicates the company's flexibility in responding to market changes, enhancing investor confidence. 3. Recently, the Hong Kong market has shown dual characteristics between selective future choices in AI infrastructure and immediate dividends from state-owned enterprises. This short-term rotation may be driven by risk aversion or could mark the beginning of a long-term structural repricing of Chinese assets on the global stage. The unresolved tensions investors face in 2026 may represent the most significant opportunities. The Hong Kong market exhibits dual characteristics, with noticeable capital volatility. Lattice Semiconductor rose 2.16%. Based on recent key news: 1. On August 10, Morgan Stanley increased its holdings in Lattice Semiconductor by 73,456 shares at a price of HKD 259.7136 per share, totaling approximately HKD 19.0775 million. After the increase, the latest number of shares held is approximately 8.3609 million, with a latest holding ratio of 11.03%. This move shows institutional confidence in the stock, driving the stock price up. 2. On August 10, Morgan Stanley increased its holdings in Lattice Semiconductor by 336,102 shares at a price of HKD 258.6114 per share, totaling approximately HKD 86.9198 million. After the increase, the latest number of shares held is approximately 5.6334 million, with a latest holding ratio of 7.43% This increase in holdings further enhances the market's optimism towards Lanqi Technology, driving up the stock price. On August 13, stock commentator Zhao Xiwen recommended Lanqi Technology, believing that demand driven by artificial intelligence would lead to an ideal quarterly performance. Earlier, the company announced a repurchase of A shares, which also supported the stock price. Zhao Xiwen suggested buying at 280 yuan, with a target price of 340 yuan and a stop-loss price set at 240 yuan. This recommendation boosted investor confidence and promoted the rise in stock price. The demand for artificial intelligence is strong, and institutional holdings have significantly increased. **Stocks ranked among the top in industry market capitalization** Tianshu Zhixin rose by 0.24%. Based on recent key news: 1. On August 13, Tianshu Zhixin released a performance forecast, expecting a net profit of approximately 60 million to 140 million yuan for the six months ending June 30, 2026, achieving a turnaround from losses. The net loss for the same period last year was approximately 609 million yuan. The turnaround is mainly attributed to the fair value gains of financial assets recognized in profit or loss during the reporting period, estimated to be between approximately 730 million and 790 million yuan. This news boosted market confidence and drove up the stock price. 2. On August 13, Zhitong Finance reported that Tianshu Zhixin announced an expected net profit of approximately 60 million to 140 million yuan for the first half of the year, compared to a net loss of approximately 609 million yuan in the same period last year. The turnaround is mainly due to the fair value gains of financial assets. This news further confirmed the improvement in the company's financial situation and enhanced investor confidence. 3. On August 13, Economic News Agency reported that Tianshu Zhixin released a profit alert, expecting to turn from loss to profit in the first half of this year, with net profit estimated between 60 million and 140 million yuan, compared to a net loss of approximately 610 million yuan in the same period last year. The company believes that the turnaround is mainly due to the increase in fair value gains of financial assets. This news has a positive impact on the stock price. 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