SMIC vs Guangdong HongDa Blasting: why the prices moved differently

Weekly · monthly · quarterly news summaries, side by side in time

SMIC (0981-OL.HK)

Q3 202621 Jul – 14 Aug 2026

▲4

SMIC Q2 profit surges on AI demand; domestic lithography offers supply hedge

Q2 profit jumps 262% on AI chip demand SMIC's Q2 revenue topped $3 billion, up 36% year on year, and net profit surged 262% to $479 million. Factories ran at 93.7% of capacity, and Q3 guidance points to further growth. Strong earnings and demand for AI-related chips support the stock.
This is the core new financial result that directly drives investor confidence and the stock's value.
China mass-produces domestic DUV lithography tools China began mass-producing home-grown immersion DUV lithography machines, with SMIC named as a leading recipient. This gives SMIC an alternative source of critical chipmaking equipment if Western export restrictions tighten, reducing a key supply risk.
It addresses a major supply-chain vulnerability and could lower SMIC's long-term production risk.
Top fund managers add SMIC in Q2 Star fund manager Zhang Kun added SMIC to his top ten holdings for the first time in Q2, as major funds shifted from consumer staples like baijiu into tech. This signals rising institutional demand for SMIC shares, which can support the price.
It shows a concrete shift in institutional money toward SMIC, a new demand driver for the stock.
PBOC injects 1 trillion yuan, boosting tech sentiment The People's Bank of China will inject 1 trillion yuan via a six-month reverse repo, adding liquidity to the financial system. Combined with CXMT's market value surpassing Tencent, this lifts sentiment for Chinese chip stocks, including SMIC.
It reflects a supportive monetary backdrop and sector enthusiasm that can lift SMIC's valuation.

August 202621 Jul – 14 Aug 2026

▲4

SMIC Q2 profit surges on AI demand; domestic lithography offers supply hedge

Q2 profit jumps 262% on AI chip demand SMIC's Q2 revenue topped $3 billion, up 36% year on year, and net profit surged 262% to $479 million. Factories ran at 93.7% of capacity, and Q3 guidance points to further growth. Strong earnings and demand for AI-related chips support the stock.
This is the core new financial result that directly drives investor confidence and the stock's value.
China mass-produces domestic DUV lithography tools China began mass-producing home-grown immersion DUV lithography machines, with SMIC named as a leading recipient. This gives SMIC an alternative source of critical chipmaking equipment if Western export restrictions tighten, reducing a key supply risk.
It addresses a major supply-chain vulnerability and could lower SMIC's long-term production risk.
Top fund managers add SMIC in Q2 Star fund manager Zhang Kun added SMIC to his top ten holdings for the first time in Q2, as major funds shifted from consumer staples like baijiu into tech. This signals rising institutional demand for SMIC shares, which can support the price.
It shows a concrete shift in institutional money toward SMIC, a new demand driver for the stock.
PBOC injects 1 trillion yuan, boosting tech sentiment The People's Bank of China will inject 1 trillion yuan via a six-month reverse repo, adding liquidity to the financial system. Combined with CXMT's market value surpassing Tencent, this lifts sentiment for Chinese chip stocks, including SMIC.
It reflects a supportive monetary backdrop and sector enthusiasm that can lift SMIC's valuation.

Latest21 Jul – 14 Aug 2026

▲4

SMIC Q2 profit surges on AI demand; domestic lithography offers supply hedge

Q2 profit jumps 262% on AI chip demand SMIC's Q2 revenue topped $3 billion, up 36% year on year, and net profit surged 262% to $479 million. Factories ran at 93.7% of capacity, and Q3 guidance points to further growth. Strong earnings and demand for AI-related chips support the stock.
This is the core new financial result that directly drives investor confidence and the stock's value.
China mass-produces domestic DUV lithography tools China began mass-producing home-grown immersion DUV lithography machines, with SMIC named as a leading recipient. This gives SMIC an alternative source of critical chipmaking equipment if Western export restrictions tighten, reducing a key supply risk.
It addresses a major supply-chain vulnerability and could lower SMIC's long-term production risk.
Top fund managers add SMIC in Q2 Star fund manager Zhang Kun added SMIC to his top ten holdings for the first time in Q2, as major funds shifted from consumer staples like baijiu into tech. This signals rising institutional demand for SMIC shares, which can support the price.
It shows a concrete shift in institutional money toward SMIC, a new demand driver for the stock.
PBOC injects 1 trillion yuan, boosting tech sentiment The People's Bank of China will inject 1 trillion yuan via a six-month reverse repo, adding liquidity to the financial system. Combined with CXMT's market value surpassing Tencent, this lifts sentiment for Chinese chip stocks, including SMIC.
It reflects a supportive monetary backdrop and sector enthusiasm that can lift SMIC's valuation.

Guangdong HongDa Blasting Co Ltd (002683.CS)

Q3 202630 Jul – 25 Aug 2026

▲3▼1

Buyback, dividend and defense-unit growth lift HongDa, but cash outflow widens

Chairman-backed buyback plan The chairman proposed buying back 50-100 million yuan of shares for staff incentives, later confirmed with a bank loan covering up to 90%. Buybacks shrink the shares in circulation and signal management thinks the stock is cheap, which supports the price.
The buyback is the main fresh capital action behind the stock and shows insider confidence.
First-half profit and dividend First-half revenue rose 10.79% to 10.14 billion yuan and net profit rose 3.23% to 520 million yuan, with a cash dividend of 2 yuan per 10 shares proposed. Steady earnings plus a payout give investors a reason to hold the stock.
The interim results and dividend are the period's core fundamental news for the stock.
Defense equipment revenue jumps Revenue from the defense equipment business reached 510 million yuan, up 533.79% from a year earlier, mainly from the newly added subsidiary Dalian Changzhilin. A fast-growing new business can lift future profit expectations and support the share price.
The defense segment surge is the strongest growth driver disclosed in the interim report.
Operating cash outflow widens Operating cash flow was negative 913 million yuan, much worse than negative 226 million yuan a year earlier, even as profit grew. That means cash is leaving the business faster than it comes in, a real warning sign that can weigh on the stock.
It is the main counterweight in the results and balances the positive profit headline.

August 202630 Jul – 25 Aug 2026

▲3▼1

Buyback, dividend and defense-unit growth lift HongDa, but cash outflow widens

Chairman-backed buyback plan The chairman proposed buying back 50-100 million yuan of shares for staff incentives, later confirmed with a bank loan covering up to 90%. Buybacks shrink the shares in circulation and signal management thinks the stock is cheap, which supports the price.
The buyback is the main fresh capital action behind the stock and shows insider confidence.
First-half profit and dividend First-half revenue rose 10.79% to 10.14 billion yuan and net profit rose 3.23% to 520 million yuan, with a cash dividend of 2 yuan per 10 shares proposed. Steady earnings plus a payout give investors a reason to hold the stock.
The interim results and dividend are the period's core fundamental news for the stock.
Defense equipment revenue jumps Revenue from the defense equipment business reached 510 million yuan, up 533.79% from a year earlier, mainly from the newly added subsidiary Dalian Changzhilin. A fast-growing new business can lift future profit expectations and support the share price.
The defense segment surge is the strongest growth driver disclosed in the interim report.
Operating cash outflow widens Operating cash flow was negative 913 million yuan, much worse than negative 226 million yuan a year earlier, even as profit grew. That means cash is leaving the business faster than it comes in, a real warning sign that can weigh on the stock.
It is the main counterweight in the results and balances the positive profit headline.

Latest30 Jul – 25 Aug 2026

▲3▼1

Buyback, dividend and defense-unit growth lift HongDa, but cash outflow widens

Chairman-backed buyback plan The chairman proposed buying back 50-100 million yuan of shares for staff incentives, later confirmed with a bank loan covering up to 90%. Buybacks shrink the shares in circulation and signal management thinks the stock is cheap, which supports the price.
The buyback is the main fresh capital action behind the stock and shows insider confidence.
First-half profit and dividend First-half revenue rose 10.79% to 10.14 billion yuan and net profit rose 3.23% to 520 million yuan, with a cash dividend of 2 yuan per 10 shares proposed. Steady earnings plus a payout give investors a reason to hold the stock.
The interim results and dividend are the period's core fundamental news for the stock.
Defense equipment revenue jumps Revenue from the defense equipment business reached 510 million yuan, up 533.79% from a year earlier, mainly from the newly added subsidiary Dalian Changzhilin. A fast-growing new business can lift future profit expectations and support the share price.
The defense segment surge is the strongest growth driver disclosed in the interim report.
Operating cash outflow widens Operating cash flow was negative 913 million yuan, much worse than negative 226 million yuan a year earlier, even as profit grew. That means cash is leaving the business faster than it comes in, a real warning sign that can weigh on the stock.
It is the main counterweight in the results and balances the positive profit headline.