On June 23, GigaDevice Innovation (03986.HK) declined 3.16% in regular trading, trading at HK$982.5/share, with turnover of HK$210 million. The stock pulled back after breaking through the HK$1,000 milestone on the previous trading day.

The decline comes amid intensifying profit-taking pressure at historical highs. On June 22, the HK-listed shares surged over 8% to break HK$1,000, while the A-share equivalent rose 9.65%, both hitting record highs. However, fund flow data revealed significant divergence — main institutional funds recorded a net outflow of RMB 1.17 billion on June 22, while speculative capital provided RMB 1.21 billion in net inflows, indicating a clear pattern of institutional profit-taking at elevated levels. The stock's trailing PE ratio has approached 170x, creating tension between valuation and fundamentals.

Earlier on June 21, the A-share exhibited a similar pattern when its limit-up board was broken in the final minutes of trading, signaling chip distribution at highs. Despite strong fundamental support from memory chip price increases and Q1 net profit growth of 522.79% year-over-year, the stock faces near-term consolidation pressure after its parabolic advance.

(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.)