Hong Kong Stock Movement

BASICSEMI surged 20.19%. Based on recent key news:

1. On July 20, BASICSEMI was listed on the Hong Kong Stock Exchange, becoming the first silicon carbide IDM company to be listed under the HKEX Rule 18C framework. This move addresses the capital constraints in the capital-intensive, long-cycle silicon carbide industry and validates the efficiency improvements of the IDM model, pushing the stock price up over 5%. Technology stocks have performed strongly recently, with significant capital inflows.

Stocks with High Trading Volume in the Industry

SMIC fell 3.98%. Based on recent news,

1. On July 21, Harvest Fund released its second-quarter report, showing that SMIC is one of its top ten holdings. The fund manager stated that they will continue to focus on domestic chips, expecting supply breakthroughs in the second half of the year. This indicates that the market holds an optimistic view of SMIC's long-term prospects, but it may face volatility in the short term.

2. On July 21, a well-known semiconductor and AI research company disassembled Huawei's latest flagship smartphone chip and found that SMIC's chip wire spacing is 10% smaller than Intel's most advanced EUV process, despite lacking the most advanced equipment. This technological breakthrough showcases SMIC's technical strength, but the market still has doubts about its short-term profitability.

3. On July 20, Aijian Securities' research report pointed out that SMIC's expected PE for 2026 is 79.4 times, lower than the median PE of comparable companies at 198.6 times. Although the valuation seems expensive, the market remains cautious about the sustainability of its future cash flow and technological upgrades, leading to stock price fluctuations. The technology sector benefits from global AI development and domestic policy support.

Huahong Grace fell 7.86%. Based on recent news,

1. On July 23, the semiconductor concept index fell 3.16%, with Huahong Grace dropping 13.57%. Zhongyuan Securities pointed out that global semiconductor sales have significantly increased, with AI demand being the core driver. Guojin Securities stated that domestic semiconductor sales growth has surged, and there is a strong willingness for capital expenditure expansion in wafer fabs. Source: Zhitong Finance

2. On July 22, the globally renowned industry research organization Yole Group released a report predicting that global semiconductor device revenue is expected to exceed $1.6 trillion by 2026, with AI computing power construction continuing to expand, becoming the core growth engine of the semiconductor industry. Source: Wall Street Insights

3. On July 21, TSMC raised its full-year capital expenditure guidance for 2026 to $60 billion - $64 billion, expecting annual revenue growth to be slightly above 40%. Huahong Grace's stock price rose 9.8%. Source: Daily Economic News. The semiconductor industry is in a super upward cycle driven by AI.

GigaDevice fell 2.91%. Based on recent news,

1. On July 21, GigaDevice announced that the closing price deviation of its A-shares had exceeded 20% over three consecutive trading days, which constitutes an abnormal fluctuation in stock trading. After self-examination, the company stated that its production and operation are normal, and no significant matters affecting stock price fluctuations were found This announcement has attracted market attention, leading to a decline in stock prices.

2. On July 22, Zhuhai Amic Technology announced that it would uniformly adopt Chinese Accounting Standards for financial statements starting from June 30, and that its financial condition and operating performance would not be significantly affected. This move raised concerns in the market about the company's financial transparency, further impacting stock prices.

3. On July 21, the company announced plans to use raised funds of 500 million yuan to increase capital for its wholly-owned subsidiary Zhuhai Hengqin Chip Storage Semiconductor Co., Ltd. to implement the DRAM fundraising project. Although this move demonstrates the company's determination to expand its business, concerns about the efficiency of fund usage remain, affecting stock performance. The semiconductor industry has been volatile recently, and investors should exercise caution.

Stocks Ranked Among the Top in Industry Market Value

Lanqi Technology has a market value of HKD 389.6 billion. Based on recent key news:

1. On July 21, Citigroup reiterated its "Buy" rating on Lanqi Technology with a target price of HKD 305, reflecting international investors' preference for AI-themed stocks. The company's earnings forecast indicates that revenue and profit for the second quarter reached historical highs, and the South Korean antitrust investigation did not affect normal business operations. Source: Zhitong Finance

2. On July 20, global regulatory agencies focused on the AI industry chain, and Lanqi Technology is facing an antitrust investigation in South Korea. This investigation is industry-wide and not targeted specifically at Lanqi Technology, which is actively cooperating with the investigation. Source: Zhitong Finance

3. On July 23, a wholly-owned subsidiary of Lanqi Technology participated in the establishment of a venture capital firm, contributing 2.1 billion yuan, indicating the company's investment layout in the AI field. Source: Jinshi Data. Regulatory pressure on the AI industry chain is increasing, and investors should pay attention