The electronics sector led the market higher today (June 24th), attracting a net inflow of 7.61 billion yuan in main capital throughout the session. Over the past 5 and 20 trading days, the sector has drawn 157.2 billion yuan and 312.7 billion yuan, respectively, maintaining a dominant lead in capital attraction among the 31 primary Shenwan industries.
Jcet Group Co.,Ltd. and Luxshare Precision Industry secured net main capital inflows of 8.2 billion yuan and 4.3 billion yuan, respectively, claiming the top two spots on the A-share capital attraction ranking.
Among popular ETFs, the Huabao Electronic ETF (515260), which encompasses hot concepts like PCBs and advanced packaging, surged powerfully today. Its on-market price jumped 4.57%, approaching its historical high, with a daily turnover of 124 million yuan, a 30% increase from the previous session.
Capital is flowing in to position for the hot market! Data from the Shanghai Stock Exchange shows the Huabao Electronic ETF (515260) has seen net inflows for three consecutive days, totaling 98.51 million yuan. Over a longer 20-day period, it has attracted a substantial 154 million yuan.
Among its component stocks, Lens Technology, Changchuan Technology, and three others hit the 10% daily limit up. GigaDevice, Jcet Group Co.,Ltd., Sanan Optoelectronics, and others reached new all-time highs. Xccreate Data rose nearly 11%, with Luxshare Precision Industry, Shengyi Electronics, SMIC, and others posting significant gains.
On the news front, several segments within the electronics sector showed strength, with two key positive catalysts in focus.
TSMC's Potential Price Increase and Advanced Packaging Activity
Reports indicate that Taiwan Semiconductor Manufacturing (TSMC) has begun notifying customers of price increases for its wafer foundry services. The hikes are expected to cover not only the previously rumored 3nm process but also extend to all advanced processes at 7nm and below, with overall increases of about 5% to 10%. This move would impact approximately 75% of the company's wafer revenue.
Analysts note that beyond AI computing power, areas like autonomous driving, high-end consumer electronics, and 5G communication are becoming significant growth drivers for advanced packaging and testing. It is also pointed out that advanced packaging is evolving from a traditional back-end process to a more front-end-like one, with increasing process complexity and value. The industry is experiencing a concurrent trend of high prosperity and domestic substitution.
PCB Concept Stocks Rebound Collectively
Stocks like Shengyi Electronics and Shengyi Technology rose in tandem. On one hand, market rumors about "Nvidia demanding a 10% price cut from PCB manufacturers" have been dispelled, with high-end capacity remaining tight and PCB makers holding stronger pricing power. On the other hand, rising prices for upstream raw materials like electronic cloth and electronic resin are driving up the cost of copper-clad laminates (CCL), with the price increase being smoothly passed along the supply chain.
For instance, Kingboard Laminates announced a 15% price increase for all thicknesses of FR-4 CCL and prepreg on June 16th, while the price of 7628 electronic cloth has surged over 70% since the beginning of the year.
From the perspective of some analysts, the high-end PCB industry chain is seeing strong profit effects. Upstream electronic cloth and copper foil companies have full order books and record-high profits; midstream CCL manufacturers hold pricing power, expanding their profit margins; and downstream high-end PCB companies are seeing increased value per unit, with prices and profits steadily rising. With the upcoming mass production and delivery of Rubin architecture servers, companies with leading high-end technology are expected to see a release in earnings elasticity.
Looking ahead, analysts point out that July will enter a period of intensive disclosure for first-half earnings forecasts, where industry prosperity will be a core pricing factor. The AI hardware industry chain, which the electronics sector primarily covers, is one of the directions where positive earnings clues for the first half of 2026 are concentrated.
Investing in Tech Giants for Strategic Advantage
The Huabao Electronic ETF (515260) and its feeder funds (Class A: 012550, Class C: 012551) passively track the CSI Electronic 50 Index. It is heavily weighted towards the semiconductor and consumer electronics industries, aggregating popular concepts like PCBs, MLCCs, glass substrates, memory chips, and semiconductor equipment. Its top holdings include Luxshare Precision Industry, Cambricon, Foxconn Industrial Internet, SMIC, and others. The ETF is also a margin trading and Stock Connect eligible security, serving as an efficient tool for a one-click investment in the core assets of the electronics sector.
Data shows that the underlying index of the Huabao Electronic ETF (515260) is deeply tied to global technology leaders. As of the end of May, the weightings for the Apple, Nvidia, and Google industry chains were approximately 49.34%, 28.50%, and 23.85%, respectively, positioning it to potentially benefit from the industrial expansion and technological innovation of these tech giants.
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