Hong Kong stocks experienced a volatile session, closing lower with all three major indices declining over 1%. The Hang Seng Index fell 1.06%, or 271.22 points, to close at 25,328.23, with a total turnover of HKD 320.758 billion. The Hang Seng China Enterprises Index dropped 1.33% to 8,463.02, while the Hang Seng TECH Index decreased 0.79% to 4,907.57.
Among blue-chip stocks, CATL (03750) led the gainers, closing up 6.38% at HKD 700, contributing 8.82 points to the Hang Seng Index. Other notable blue-chip performers included Lenovo Group (00992), which rose 4.45% to HKD 19, contributing 8.78 points, and BYD Electronic (00285), which gained 3.49% to HKD 29.06, contributing 1.25 points. On the downside, CSPC PHARMA (01093) fell 5.38% to HKD 7.04, dragging the index down by 5.09 points, and China Resources Beer (00291) declined 4.15% to HKD 24.02, pulling the index down by 2.66 points.
In terms of sectors, most major technology stocks faced pressure, with Alibaba falling over 2% and Tencent down about 1%. Semiconductor stocks bucked the overall market trend to close higher, with silicon carbide-related concepts performing notably well. AI application stocks also strengthened, with Qunhe Technology surging over 17% and MINIMAX rising over 10%. Some lithium battery stocks advanced, with CATL jumping over 6%. Individual power and coal stocks also closed in positive territory. Conversely, non-ferrous metal stocks broadly retreated, while automotive and mainland property stocks trended lower.
1. Semiconductor stocks rose against the market, with silicon carbide concepts standing out. SICC (02631) closed up 16.77% at HKD 127.4, Innoscience (02577) gained 8.22% to HKD 80.3, Hua Hong Semiconductor (01347) increased 6.05% to HKD 152.4, and GigaDevice (03986) rose 2.12% to HKD 842.5. The transition of AI data center power architectures towards 800V high-voltage direct current is driving explosive growth in silicon carbide demand. Industry research indicates quarterly demand growth of 20-30% for silicon carbide in AI power supplies, with the 800V architecture making it a necessity rather than an option.
2. Non-ferrous metal stocks were among the biggest decliners. CHIFENG GOLD (06693) fell 5.79% to HKD 32.86, Jiangxi Copper (00358) dropped 4.25% to HKD 35.62, and Aluminum Corporation of China (02600) declined 3.62% to HKD 11.45. Reports of renewed U.S. military activity in southern Iran and heightened risks of Israeli action against Hezbollah have reignited market concerns about a potential escalation in conflict.
Notable movers included three new listings which surged on their debut. DEEPZERO (02723) skyrocketed 265.77% to close at HKD 203, Vanchip (03310) soared 91.73% to HKD 39.9, and Huaxida (00901) jumped 86.59% to HKD 61.2. The three companies collectively raised over HKD 2 billion net.
UISEE Technology (01511) hit a record high, closing up 18.2% at HKD 76.95. The company announced it recently won a new order from Xinjiang Airport Group for 10 autonomous buses and 6 autonomous delivery vehicles, following strong operational performance of its previous unmanned vehicles.
PONY-W (02026) gained throughout the session, closing up 5.24% at HKD 76.25. The company reported its Q1 2026 financial results, with total revenue reaching RMB 236 million, a 145% year-on-year increase. Gross profit was RMB 38.36 million, up 140.1% year-on-year. Its Robotaxi business set a new quarterly revenue record of RMB 59.12 million, surging 395.4% year-on-year. The company raised its 2026 Robotaxi business targets, expecting annual revenue to exceed 3.5 times the 2025 level, with a fleet size over 3,500 vehicles covering more than 20 cities globally.
CSPC PHARMA (01093) fell sharply in the afternoon session, closing down 5.38% at HKD 7.04. The company released its Q1 2026 results at midday, showing revenue of RMB 6.465 billion, a 7.8% year-on-year decrease. Reported profit attributable to shareholders was RMB 860 million, down 41.8% year-on-year, primarily due to high licensing fee income in the same period last year. Excluding the impact of licensing fees, profit attributable to shareholders was RMB 736 million, a 7.3% decrease year-on-year.
IMPRESS (01286) remained under pressure throughout the day, closing down 5.41% at HKD 9.96. The company announced a proposed top-up placement of up to 60 million shares to no fewer than six independent professional or institutional investors at HKD 9.10 per share, a discount of approximately 13.58% to the closing price of HKD 10.53 on May 26. The net proceeds are estimated to be approximately HKD 539 million.
Comments