Hong Kong AI Concept Stock Daily: HUA HONG GRACE Rises 15.75% as US Midterm Projections Point to Democratic Control of Both Chambers - 20261104

NewTimeSpace · 2026/11/04 17:39 · By Zeyu Wu

On November 4, the HSTECH rose 1.77% and the HSI gained 1.67%. All 20 AI concept stocks advanced, led by HUA HONG GRACE at 15.75%, as Hong Kong shares rallied.

Key Highlights:

all three indices opened lower, recovered from an early dip but stayed weak through the morning, then rallied sharply in the afternoon to close near or at the session high; the HSI closed at 23,919.50, up 1.67%, the HSTECH at 3,936.02, up 1.77%, and the HSCEI at 8,057.59, up 1.44%; full-day HSI turnover reached HKD 236.9 billion, slightly above HKD 236.4 billion a day earlier.
all 20 names rose, led by HUA HONG GRACE at 15.75%, followed by BIRENTECH at 11.99%, ILUVATAR COREX at 11.89%, Z.AI at 9.55% and MONTAGETECH at 9.53%; XIAOMI-W gained 0.56% and WERIDE-W 0.99%; the six AI chip names took the top four places, and all seven LLM names advanced.
US midterm projections pointed to Democratic control of both chambers while the STAR 50 Index jumped 9.92%; SEMI forecast 2026 semiconductor equipment sales of USD 165.9 billion, up 23.2%; STAR Market companies posted nine-month revenue of RMB 1.51 trillion, up 41.9%, with RMB 13 billion of semiconductor buyback plans this year; AMD reported revenue of USD 13.38 billion with data center sales up 97%; HUA HONG GRACE said its order book is 1.5 to 2 times capacity with utilisation near 100%.

I. Market Overview

On November 4, 2026, the three major Hong Kong indices opened lower, weakened in morning trade after an early dip, then rallied sharply in the afternoon to close near or at the session high, with all three posting solid gains. The Hang Seng Index closed at 23,919.50, up 1.67%; the Hang Seng TECH Index closed at 3,936.02, up 1.77%; and the Hang Seng China Enterprises Index closed at 8,057.59, up 1.44%. Full-day turnover on the Hang Seng Index reached HKD 236.9 billion, slightly above HKD 236.4 billion a day earlier. All 20 AI concept stocks closed higher; the six AI chip names led the gains, while autonomous driving and embodied AI names lagged.

In the LLM space, Z.AI (02513.HK) rose 9.55%, MINIMAX-W (00100.HK) rose 7.45%, BIDU-W (09888.HK) rose 2.48%, KUAISHOU-W (01024.HK) rose 1.74%, MEITUAN-W (03690.HK) rose 1.14%, TENCENT (00700.HK) rose 1.11% and BABA-W (09988.HK) rose 1.05%; all seven names advanced.

In the AI Chips space, all six names rose and took four of the top five places in the pool: HUA HONG GRACE (01347.HK) 15.75%, BIRENTECH (06082.HK) 11.99%, ILUVATAR COREX (09903.HK) 11.89%, MONTAGETECH (06809.HK) 9.53%, SMIC (00981.HK) 8.96% and GIGADEVICE (03986.HK) 8.63%.

In the Autonomous Driving space, ROBOSENSE (02498.HK) rose 4.61%, PONY-W (02026.HK) rose 3.75%, BLACK SESAME (02533.HK) rose 1.89%, HORIZONROBOT-W (09660.HK) rose 1.29% and WERIDE-W (00800.HK) rose 0.99%; all five names advanced.

In the Embodied AI space, UBTECH ROBOTICS (09880.HK) rose 2.50% and XIAOMI-W (01810.HK) rose 0.56%.

II. Market Performance of Representative AI Stocks

Stock Code	Company Name	Closing Price (HKD)	Change(%)	Sector / Concept
01347.HK	HUA HONG GRACE	68.700	15.75	AI Chips
06082.HK	BIRENTECH	20.360	11.99	AI Chips
09903.HK	ILUVATAR COREX	63.050	11.89	AI Chips
02513.HK	Z.AI	484.200	9.55	LLM
06809.HK	MONTAGETECH	217.200	9.53	AI Chips
00981.HK	SMIC	46.440	8.96	AI Chips
03986.HK	GIGADEVICE	340.000	8.63	AI Chips
00100.HK	MINIMAX-W	167.300	7.45	LLM
02498.HK	ROBOSENSE	13.380	4.61	Autonomous Driving
02026.HK	PONY-W	36.540	3.75	Autonomous Driving
09880.HK	UBTECH ROBOTICS	63.650	2.50	Embodied AI
09888.HK	BIDU-W	76.550	2.48	LLM
02533.HK	BLACK SESAME	6.475	1.89	Autonomous Driving
01024.HK	KUAISHOU-W	28.000	1.74	LLM
09660.HK	HORIZONROBOT-W	3.545	1.29	Autonomous Driving
03690.HK	MEITUAN-W	75.200	1.14	LLM
00700.HK	TENCENT	401.600	1.11	LLM
09988.HK	BABA-W	100.600	1.05	LLM
00800.HK	WERIDE-W	11.260	0.99	Autonomous Driving
01810.HK	XIAOMI-W	28.760	0.56	Embodied AI

Data Source: HKEX. For reference only, not investment advice. Data as of market close on November 4, 2026.

III. AI Industry & Corporate Developments

1. US Midterm Projections Point to Democratic Control of Both Chambers of Congress

Xinhua and CCTV reported on November 4 that projections by major US media outlets and election data providers indicate the Democratic Party has won back control of both the Senate and the House of Representatives in the November 3 midterm elections. Decision Desk HQ projected the Democrats would hold 51 of the 100 Senate seats, while NBC projected more than 250 House seats. These figures are media and agency projections; official vote counts and state certifications are still pending. On November 4, Asia-Pacific and A-share markets rose in tandem: the Shanghai Composite gained 2.16%, the ChiNext Index 6.4% and the STAR 50 Index 9.92%, with combined turnover across the Shanghai, Shenzhen and Beijing exchanges topping RMB 2 trillion for the first time since September 22.

2. SEMI Forecasts Global Semiconductor Equipment Sales of USD 165.9 Billion in 2026, Up 23.2%

In its Mid-Year Total Semiconductor Equipment Forecast released in July 2026, SEMI projected global semiconductor manufacturing equipment sales would reach a record USD 165.9 billion in 2026, up 23.2% year on year, with growth continuing to a record USD 229.5 billion in 2028. By segment, wafer fab equipment is forecast to grow 23.1% to USD 143.9 billion in 2026, semiconductor test equipment 31.0% to USD 15.3 billion and assembly and packaging equipment 9.6% to USD 6.7 billion. SEMI also expects DRAM equipment sales to rise 39.0% to USD 38.8 billion and NAND equipment 30.7% to USD 13.9 billion in 2026, driven by high-bandwidth memory demand and 3D NAND layer migration. The forecast was widely cited by institutions and media in market commentary on November 4.

3. STAR Market Companies Post RMB 1.51 Trillion in Nine-Month Revenue as Semiconductor Names Disclose RMB 13 Billion of Buyback Plans

Economic Information Daily reported on November 4 that, as of October 31, 614 STAR Market companies recorded combined revenue of RMB 1.51 trillion for the first three quarters, up 41.9% year on year, with net profit attributable to shareholders of RMB 223.52 billion, up 474.6%. Third-quarter revenue rose 44.8% and net profit 455.3%, with 277 companies posting sequential net profit growth. The semiconductor supply chain is a core STAR Market segment, with wafer foundry leaders such as Nexchip and Hua Hong Grace continuing capacity expansion and announcing buyback plans. Separately, statistics compiled by Gelonghui on November 4 showed 42 STAR Market semiconductor companies had disclosed buyback plans this year with a combined ceiling of RMB 13 billion, including 24 new plans since October worth up to RMB 10.65 billion.

4. AMD Posts Record Third-Quarter Revenue of USD 13.38 Billion as Data Center Sales Grow 97%

After the US close on November 3, AMD reported fiscal third-quarter 2026 revenue of USD 13.38 billion, up 45% year on year and above the USD 13.09 billion consensus, with non-GAAP earnings per share of USD 2.09 versus USD 1.95 expected and gross margin of 56%, up about 2 percentage points. The Data Center segment generated record revenue of USD 8.5 billion, up 97% and equal to 64% of total revenue versus 47% a year earlier; client and gaming revenue combined fell 8% to USD 3.7 billion, while embedded revenue rose 29% to USD 1.1 billion. The company guided fourth-quarter revenue to about USD 17 billion, plus or minus 3%, implying roughly 66% growth, and CEO Lisa Su said on the earnings call that data center could account for as much as 80% of total revenue in 2027, with server revenue expected to double year on year.

5. HUA HONG GRACE Says Order Book Is 1.5 to 2 Times Capacity with Utilisation Near 100%

According to disclosures at the company's second-quarter 2026 results briefing, industry supply and demand has shifted toward tightness since the start of the year, with price increases concentrated in MCU and memory products that are more closely tied to AI applications. Demand for some products has exceeded supply capacity; orders received are currently about 1.5 to 2 times capacity and utilisation is essentially at 100%, so the company is relying on new capacity release, flexible management and process innovation to lift output. Average selling prices rose 3% sequentially in the second quarter, and the company expects price increases to extend through the second half and possibly into 2027. On capacity, the Wuxi 12-inch phase-three project is progressing as planned and Fab9A is moving toward full load after equipment installation. The company previously guided third-quarter revenue of USD 770 million to USD 780 million with a gross margin of 16% to 18%.

IV. Profiles of Representative AI Concept Stocks

Company Name	Stock Code	Industry Position	Main Product Lines & Business Overview
HUA HONG GRACE	01347.HK	Global leader in specialty process wafer foundry	A world leading specialty process wafer foundry, the company operates 8 inch and 12 inch production lines serving new energy vehicles, industrial control, and data center power management. It provides customized manufacturing in power devices, embedded non volatile memory, analog ICs, and power management chips, with multiple automotive grade certifications and sustained high capacity utilization.
BIRENTECH	06082.HK	China's pure-play leader in high-end general-purpose GPU (GPGPU)	Founded in 2019 and listed on the HKEX in January 2026 as the first GPU stock in Hong Kong, the company focuses on GPGPU chip R&D and sales, competing head to head with NVIDIA in data center grade AI training and inference GPUs. It has launched the BR106 and BR110 core chips and the BR166 chip co packaged via Chiplet technology, offering a complete solution encompassing GPGPU hardware and the BIRENSUPA software platform. Its products have been deployed across multiple domestic AI computing clusters, with the next generation BR20X chip planned for 2026.
ILUVATAR COREX	09903.HK	Domestic general-purpose GPU pioneer and builder of full-scenario AI compute bases	Established in 2015, it is among the earliest domestic vendors to achieve mass production of general-purpose GPUs. Product lines cover training, inference, and edge computing across the Tiangai, Zhikai, and Tongyang series. In July 2026, it launched its next-gen flagship Tiangai 300 at WAIC, matching the Nvidia Hopper architecture. As of late 2025, it served 340+ clients across 30+ industries, generating core GPGPU revenue of about RMB 923 million (+149.6% YoY).
Z.AI	02513.HK	A leading player in China's independent LLM sector	Has launched its flagship next-gen model GLM-5.2, achieving open-source SOTA performance in coding and agentic capabilities. In partnership with Huawei, it open-sourced the multimodal image model GLM-Image. Focusing on novel model architectures, universal reinforcement learning paradigms, and autonomous model evolution, its business model closely aligns with enterprise AI productivity adoption.
MONTAGETECH	06809.HK	Global memory interconnect chip leader and core supplier for AI computing interconnects	A world-leading fabless IC design company and the largest memory interconnect chip supplier globally by 2024 revenue, holding a 36.8% market share. Its main product portfolio includes interconnect ICs (DDR5 RCD, MRCD/MDB, PCIe Retimers, CXL MXC) and the Jintide server platform, widely deployed across data centers, servers, and AI infrastructure. Driven by AI inference and Agent workloads increasing CPU centrality, memory interconnect demand continues to expand. H1 2026 revenue is projected at about RMB 3.335 billion (+26.6% YoY).

AI HUA HONG GRACE BIRENTECH