On July 13, GigaDevice Semiconductor (03986.HK) fell 5.86% in regular trading, trading at 704.0 HKD/share, with turnover of HKD 643 million.

The decline was triggered by the company's first batch of cornerstone investor lock-up shares being unlocked on the same day. A total of 18 shareholders saw approximately 14.39 million shares become eligible for trading. Cornerstone investors were allocated shares at the IPO price of 162 HKD, and with the stock still trading above 700 HKD, their unrealized gains remain substantial, fueling strong market expectations of profit-taking.

The selling pressure had already been anticipated. On July 10, the stock plunged over 21% in Hong Kong and 7.76% on the A-share market as funds preemptively fled ahead of the unlock date. Despite the company reporting an expected H1 net profit surge of approximately 1,099% year-over-year to around RMB 6.9 billion driven by tight memory chip supply and rising prices, the positive earnings had largely been priced in during the prior rally, leaving the unlock event as the dominant short-term catalyst.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)