Semiconductor Manufacturing International Corp (981.HK) fell 5% during Hong Kong trading on Wednesday to HK$72.35, as a global chip-sector selloff dragged Asian semiconductor stocks lower.

The decline tracked an overnight nearly 5% plunge in the Philadelphia Semiconductor Index and a sharp climb in U.S. Treasury yields to near two-decade highs, which eroded risk appetite across the region. Peer Hua Hong Semiconductor dropped over 12%, while SMIC hit an intraday low of HK$70.25.

Fundamentals remain intact. Second-quarter revenue reached US$3.01 billion, up 36.1% year on year, and net profit surged 261.7% to US$479 million, with capacity utilization rising to 93.7%. Goldman Sachs recently raised its price target to HK$153 from HK$135, maintaining a buy rating. Southbound capital has net purchased nearly HK$4.93 billion worth of SMIC shares over six consecutive sessions.