Cambricon shares tumble as investors take profits after August rally

Published 04/09/2025, 11:12
© Reuters.

Investing.com -- Chinese AI chipmaker Cambricon Technologies fell around 12% in Thursday morning trading as investors locked in profits following the stock’s dramatic surge in August.

The company, widely regarded as China’s equivalent to U.S. AI giant Nvidia, was on track for its largest single-day percentage decline since January 2025.

Cambricon shares had more than doubled in value during August, pushing its weighting in the tech-focused STAR50 Index to 15%. This exceeded the 10% cap allowed for individual stocks in the index, raising concerns about potential rebalancing when the index undergoes its reset on September 12.

The profit-taking extended beyond Cambricon, with semiconductor stocks traded onshore falling nearly 6%. The broader STAR50 Index dropped more than 5% during the session.

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