On June 4, Morimatsu International (02155.HK) fell 5.07% in regular trading, trading at HKD 9.95 per share, with trading volume of HKD 36.67 million. The decline extends the correction that began after the stock surged over 15% on June 1.

Multiple negative factors are weighing on the stock. Chairman Matsuhisa Akimoto sold 250,000 shares on June 1 at approximately HKD 9.99 per share, followed by a further reduction of 484,000 shares on June 2 at approximately HKD 10.478 per share, totaling roughly HKD 7.57 million in disposals. Additionally, on June 3 the company issued 25.91 million new shares due to employee stock option exercises under the pre-IPO plan at HKD 1.2949 per share, representing approximately 2.08% dilution of outstanding capital.

Fundamentally, the company reported full-year shareholder profit declining 18.7% year-over-year to HKD 600 million, with net profit margin contracting 2.1 percentage points to 8.4%. The prior rally was triggered by a relatively modest RMB 12 million semiconductor equipment contract, which provides limited earnings uplift, intensifying profit-taking pressure.

(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.)