GigaDevice Semiconductor's stock plummeted 5.12% during intraday trading on Monday, reflecting significant selling pressure in the market.

The sharp decline was primarily triggered by the unlocking of the first batch of cornerstone investor lock-up shares. Approximately 14.39 million shares held by 18 shareholders became eligible for trading, creating expectations of profit-taking. These cornerstone investors had acquired shares at the IPO price of HKD 162, and with the stock still trading above HKD 700, their substantial unrealized gains fueled market anticipation of selling activity.

This selling pressure had been anticipated, with the stock experiencing significant declines in previous sessions as funds moved preemptively ahead of the unlock date. While the company reported strong expected first-half earnings driven by tight memory chip supply and rising prices, this positive news had largely been factored into the stock price during prior rallies, leaving the unlock event as the dominant short-term catalyst for the movement.