SANHUA's stock plummeted 5.00% during intraday trading on Wednesday, reflecting a sharp reversal in recent gains.

The decline follows a rally of over 12% since May 21, which was driven by optimism surrounding a recovery in the robotics sector and expectations for Tesla Optimus mass production. The sharp rebound led to short-term profit-taking pressure, contributing to the sell-off.

Further dampening sentiment was institutional selling by Baillie Gifford & Co, which reduced its holdings by 792,500 shares on May 19, lowering its stake from 7.13% to 6.97%. This action, coupled with broad weakness in the Industrial Machinery sector, exacerbated the downward movement.