GIGADEVICE (03986) shares tumbled 8.79% in intraday trading on Tuesday, extending a sharp sell-off as the storage sector continued to reel from the blockbuster listing of ChangXin Technology a day earlier.

The heavy decline is being driven by the massive capital absorption triggered by ChangXin Technology's debut on the STAR Market, where it skyrocketed over 465% with turnover exceeding RMB140 billion — making it the first A-share stock to record over RMB100 billion in single-day volume. This unprecedented liquidity drain has sucked money out of the broader storage space, directly weighing on GIGADEVICE and its peers. Compounding the pressure, GIGADEVICE founder Zhu Yiming simultaneously serves as ChangXin Technology's chairman, stoking market concerns over potential competition between the two entities and a dilution of management focus.

The ripple effects were felt across the Hong Kong-listed storage sector, with leveraged products tied to SK Hynix and Samsung Electronics plunging over 25% and 20%, respectively, and fellow chip name Montage Technology sliding more than 6%.