GIGADEVICE's stock price plummeted 6.27% during intraday trading on Wednesday, marking a significant downward movement for the semiconductor company.

The decline follows news that China Life Insurance Company Limited executed a substantial sale of GIGADEVICE shares. According to reports, eight of China Life's asset management plans collectively sold approximately 1.1097 million shares, raising about 6.82 billion yuan. The insurer described this transaction as a routine portfolio rebalancing move based on allocation needs.

This disciplined selling comes after GIGADEVICE experienced extreme volatility, having surged nearly 14-fold over the past two and a half years before entering a correction phase. Industry analysts view China Life's action as a calculated move to realize gains and manage risk exposure following the stock's dramatic rally, representing standard practice for large institutional investors to maintain target portfolio allocations.