The A-share market officially closed July with the tech sector undergoing a deep correction. A total of 431 stocks across the market saw cumulative declines exceeding 40%, with electronics and communications sectors accounting for nearly half. Data shows that in July, seven stocks with market caps over 100 billion yuan fell more than 50%. They are Xi'an Yicai-U, down 59.19%; Hengtong Optic-Electric, down 56.46%; Biwin Storage, down 54.32%; GigaDevice, down 53.55%; Honghe Technology, down 51.71%; Longsys, down 50.70%; and Yangtze Optical Fibre and Cable, down 50.27%. The electronics sector posted an average cumulative drop of 31.64% in July, while communications fell 17.68% on average. In contrast, traditional sectors such as coal, petroleum and petrochemicals, and banking bucked the trend to lead gains. This round of adjustment is linked to the rapid unwinding of crowded global AI trades and the concentrated exit of leveraged funds. For the August outlook, institutional views are sharply divided. Essence Securities believes the industrial trend is not over and technology may return as the main theme. Zhongtai Securities suggests that August is a sweet spot for tech. GF Securities cautions that the AI sector's internal prosperity will diverge.
Shenzhen Longsys Electronics Co. Ltd. A
Antong Holdings Co Ltd
Hengtong Optic Electric Co Ltd
Yangtze Optical Fibre and Cable Joint Stock Ltd Co
Grace Fabric Technology Co Ltd
GigaDevice Semiconductor(Beiji
Biwin Storage Technology Co. Ltd. A