On July 27, trading day for CXMT Technology’s market debut, A-share and Hong Kong hardware stocks recovered together. The largest and most liquid Hong Kong Stock Connect Information Technology ETF, code 159131, turned positive in early trading and surged again in the afternoon, closing up 2.03% with a single-day turnover exceeding 22 billion yuan. Notably, the ETF has seen consecutive capital inflows recently, with net capital inflows of 6.8 billion yuan over the past 10 trading days. Among its component stocks, 40 rose, 19 fell, and 1 was flat. Xiaomi Group surged 7%, while Kingboard Laminates, Shenghong Technology, and Tianzhu Xinzhi rose over 6%. Jinshan Cloud and Fubo Group both gained over 4%. In contrast, SMIC and Huahong Hongli fell nearly 1%.
CXMT Technology, a leading domestic DRAM manufacturer, officially debuted on the Shanghai Stock Exchange's STAR Market today, delivering a historic capital market performance. The stock opened at 49.50 yuan per share, compared to its IPO price of 8.66 yuan, and ultimately closed at 49.00 yuan per share, representing a gain of 465.82%. With a total market capitalization of 3.28 trillion yuan, it has officially surpassed Industrial and Commercial Bank of China to become the new market leader in A-share market value.
Where to begin
Guojin Securities commented that each major memory cycle (e.g., 2008, 2016) is triggered by emerging technologies driving product upgrades and innovation. This leads to increased total volume, penetration rates, and memory value, pushing the memory market to a new level. With AI-driven demand rising, we may be at the start of a new memory cycle. The firm expects AI models and applications to drive long-term, substantial demand for memory. Dongwu Securities believes that from an industry trend perspective, the medium to long term requires increased focus on the mid-to-lower end of the AI supply chain. As surface-level contradictions improve, upstream hardware sectors may see opportunities for differentiated recovery in the second half of the year. They recommend prioritizing areas with volume-driven growth logic, high supply barriers, and hard-to-replace technology routes. For certain "price-increase" sectors, inflated expectations for long-term supply-demand gaps should be tempered, and hype should be filtered out.
The rationale behind limiting to 10 ASX 200 stocks
Hong Kong-listed hardware stocks are scarce and pure. Supporting T+0 trading, the Hong Kong Stock Connect Information Technology ETF (159131) is the first of its kind, the largest in scale, and the most liquid in the market. Its over-the-counter feeder fund code is 026755. The underlying index, the Hong Kong Stock Connect Information C Index, is composed of 85% hardware and 15% software. It heavily weights Hong Kong-listed semiconductor, electronics, and computer software stocks, covering 60 Hong Kong-listed hardware companies. SMIC and Huahong Hongli, two major wafer foundries, together account for over 26% of the weight. Domestic AI PC leader Lenovo Group has a weight of over 10%, while PCB leaders Kingboard Group and Kingboard Laminates together account for over 11% of the weight. All three are the highest-concentration stocks in the market among indices with linked products. Additionally, on June 15, the index added several new Hong Kong-listed hardware stocks, including Zhipu, Shenghong Technology, Tianzhu Xinzhi, and Biren Technology. The index does not include large-cap internet companies like Alibaba, Tencent, or Meituan, offering higher alpha and making it easier to capture Hong Kong AI hardware market trends.
Data source: China Securities Index, as of June 30, 2026. Image generated by AI. Market volatility may be significant in the near term, and short-term gains or losses do not indicate future performance. Fund investments may incur losses. Investors must rationally invest based on their own capital situation and risk tolerance, paying close attention to position and risk management. The stocks in the materials are presented for illustration purposes only and do not constitute investment advice of any kind, nor do they represent the holdings or trading directions of any fund under the management company. Data sources: China Securities Index Company, Shanghai and Shenzhen Stock Exchanges. Note: "First in the market" refers to the Hong Kong Stock Connect Information Technology ETF being the first ETF in the market to track the CSI Hong Kong Stock Connect Information Technology Composite Index. As of July 22, 2026, the latest on-market scale of the Hong Kong Stock Connect Information Technology ETF was 2.319 billion yuan, making it the largest among the 8 ETFs tracking the same index; its year-to-date average daily turnover is 957 million yuan, the highest among the 8 ETFs tracking the same index. The annual historical returns of the underlying index, the CSI Hong Kong Stock Connect Information Technology Composite Index (HKD), from 2021 to 2025 are: -9.54%, -34.47%, -0.25%, 21.58%, and 39.30%. The annual volatility from 2021 to 2025 is: 4.13%, 4.63%, 4.00%, 5.49%, and 5.45%. Past performance of the index does not indicate future performance. Fee description: The subscription and redemption agent for the Hong Kong Stock Connect Information Technology ETF may charge a commission of up to 0.5%. Trading fees on the exchange are subject to the actual charges of the securities company. No sales service fee is charged. Reference institutional views source: Dongwu Securities, July 26, 2026, "How to Grasp the Subsequent Tech Hardware Repair Opportunities"; Guojin Securities, July 24, 2026, "The Rising Chinese DRAM Leader, Fully Benefiting from the High Memory Cycle." Risk Warning: The Hong Kong Stock Connect Information Technology ETF and its feeder fund passively track the CSI Hong Kong Stock Connect Information Technology Composite Index. The base date of the index is November 14, 2014, and it was published on June 23, 2017. The index component stocks in the materials are for illustration purposes only and do not constitute investment advice of any kind, nor do they represent the holdings or trading directions of any fund under the management company. This product is issued and managed by China Asset Management Company; the selling agency does not assume responsibility for the investment or repayment of the product. Investors should carefully read fund legal documents such as the Fund Contract, Prospectus, and Fund Product Information Summary to understand the fund's risk-return characteristics and choose products that match their risk tolerance. Past performance of the fund does not indicate its future performance. The performance of other funds managed by the fund manager does not constitute a guarantee of the fund's performance. Fund investment is risky! The fund manager has assessed the risk level of this fund as R4-medium to high risk, suitable for aggressive (C4) and above investors. Sales institutions (including the fund manager's direct sales institutions and other sales institutions) will conduct risk assessments of the fund in accordance with relevant laws and regulations. Investors should promptly pay attention to the suitability opinions issued by the sales institutions and act in accordance with the matching results. The suitability opinions of different sales institutions may not be consistent, and the fund product risk level assessment results issued by fund sales institutions shall not be lower than the risk level assessment results made by the fund manager. The fund's risk-return characteristics and risk level in the fund contract may differ due to different considerations. Investors should understand the fund's risk-return situation and carefully choose fund products and bear the risks themselves based on their own investment objectives, time horizon, investment experience, and risk tolerance. The registration of this fund by the China Securities Regulatory Commission does not constitute a substantive judgment or guarantee of the fund's investment value, market prospects, or returns. Fund investment is risky, and caution is required. MACD golden cross signal forms, these stocks are rising well! Massive information, precise interpretation, all on Sina Finance APP. Editor: Yang Hongbo.
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