HK Stock Concept Tracker | Is a Price Increase Wave Coming? STMicroelectronics NV ADR RegS (STM.US) Reportedly Issues Another Price Adjustment Letter; Institutions Strongly Bullish on Semiconductor Localization Opportunities (with Concept Stocks)

Title context: HK Stock Concept Tracker | Is a Price Increase Wave Coming? STMicroelectronics NV ADR RegS (STM.US) Reportedly Issues Another Price Adjustment Letter; Institutions Strongly Bullish on Semiconductor Localization Opportunities (with Concept Stocks) Text: Following three rounds of price adjustments, ST(STMicroelectronics NV ADR RegS)(STM.US) has reportedly issued another new price adjustment notice. According to reports, this is ST's fourth price increase announcement in 2026. Amid persistent inflation and rising supply chain costs, the original equipment manufacturer announced that it will raise prices on some products effective January 1, 2027, adding further uncertainty to the already tight supply chains for automotive-grade, MCU, and power devices. The report stated that STMicroelectronics NV ADR RegS said the semiconductor industry continues to face inflationary pressure, with operating and supply chain costs rising all the way, making price adjustments necessary. It also emphasized that it will continue to invest in product planning, cutting-edge technology R&D, production line manufacturing capacity building, and innovative solution development, to continue providing customers with stable technical support and long-term supporting services. As a globally leading supplier of power semiconductors and MCUs, STMicroelectronics NV ADR RegS's products broadly cover industrial, automotive electronics, and consumer electronics segments. STMicroelectronics NV ADR RegS's price adjustments affect the entire automotive electronics, industrial control, and new energy industry chain. After four consecutive price increases in a year, cost pressure continues to transmit to downstream solution providers and procurement sides, further increasing the difficulty of stocking and cost control for popular mature-node materials and automotive-grade devices. STMicroelectronics NV ADR RegS is not an isolated case. In fact, since entering the second half of 2026, the price increase trend has spread to multiple categories including analog chips, power semiconductors, MCUs, and RF front-ends. As of the end of August this year, Texas Instruments Incorporated (Texas Instruments) had accumulated five price adjustments over the past 12 months; NXP Semiconductors NV (NXP) and onsemi also successively announced price increases; Infineon has completed two rounds of price adjustments during the year, with the second round in July raising prices for AI server power supplies and automotive power devices by 10% to 20%. On the Asian supplier side, reports said Taiwan power semiconductor manufacturers are preparing a third wave of price adjustments, raising prices for non-contract products by 10% to 15% as early as October; other media reports said mainland China chipmaker UNT has notified customers of a 15% to 25% price increase in the third quarter of 2026, its second price increase during the year. China Securities Co.,Ltd. released a research report stating that after explosive growth in computing power investment drove a boom across the hardware industry chain, the market has begun to worry about high capital expenditure that requires financing to sustain. The bank believes opportunities from new technology iterations such as high-end AI PCB and 800V deserve attention. On semiconductor localization, AI has raised global demand for memory, logic, and advanced packaging to a higher order of magnitude. Under the dual boost of downstream manufacturing market share and upstream localization rates, the explosive power and sustainability of semiconductor equipment, materials, and components over the next three years have higher visibility, and the bank is strongly bullish on semiconductor localization opportunities. On the end-demand side, the impact of price increases in components represented by memory chips is nearing its end, future demand is expected to improve, Agent embedding into terminals is accelerating, and the market is waiting for hit products such as AI phones, AI PCs, and AIoT. Related concept stocks: Xinde Semiconductor (07672): The prospectus shows that Xinde Semiconductor is a semiconductor packaging and testing service provider mainly engaged in developing packaging designs, providing customized packaging products, and packaging product testing services. According to Frost & Sullivan, in the "post-Moore era" where transistor density growth is approaching its scale limit, relying on new semiconductor packaging architectures as the key link connecting chip design and applications has become the key DRIVE for improving chip performance, efficiency, and functional flexibility. Hua Hong Grace Semiconductor (01347): Recently, Hua Hong Grace Semiconductor disclosed its third-quarter results. A Citi research report noted that Hua Hong Grace Semiconductor recorded record revenue of US$987 million in the third quarter, up 19.9% year-on-year, already including the newly consolidated Huali Microelectronics; on a standalone basis, revenue reached US$803 million, above guidance. The bank believes that Fab 9B capacity expansion and the consolidation of Huali will drive capacity growth and gross margin improvement, and it is bullish on new structural growth opportunities brought by silicon photonics, artificial intelligence, and memory-related logic. CMBI said Hua Hong Grace Semiconductor's fourth-quarter guidance shows the business is expected to grow further, mainly supported by the release of Fab 9A capacity and the continued transmission of earlier price increases. Capacity utilization remains above 100%, and key drivers of profitability include pricing, product mix, and the pace of new capacity deployment. SHANGHAI FUDAN (01385): On October 28, SHANGHAI FUDAN released its results for the first three quarters of 2026. The group achieved operating revenue of RMB3.564 billion, up 17.84% year-on-year; net profit attributable to shareholders of the listed company was RMB1.06 billion, up 221.08% year-on-year; basic earnings per share were RMB1.29. A recent EB SECURITIES research report noted that SHANGHAI FUDAN achieved rapid growth in the first three quarters, mainly benefiting from a recovery in industry sentiment, growth in downstream demand, and continuous product iteration. In the first three quarters, revenue and comprehensive gross margin of all product lines achieved growth, and the product mix continued to optimize; at the same time, the company strengthened refined inventory management, inventory write-down losses fell sharply year-on-year, further releasing profit elasticity. INNOSCIENCE (02577): Recently, INNOSCIENCE reported its 2026 interim results. The company achieved sales revenue of RMB834 million, up 50.6% year-on-year; gross profit was RMB97.082 million, up 156.50% year-on-year, with gross margin continuing to rise to 11.6%. During the reporting period, the gross margin improvement was mainly due to a higher proportion of high-margin products and cost reductions brought by capacity scale effects; the group shipped a total of 547 million units, with cumulative shipments over the years exceeding 2.5 billion units, firmly maintaining its position as the gallium nitride leader. Goldman Sachs Group, Inc. released a research report stating that it maintains a positive view on INNOSCIENCE's comprehensive GaN product portfolio covering 15V to 1200V and its diverse end applications. Management noted that the company has accelerated GaN capacity expansion, targeting GaN capacity of 70,000 wafers per month in the coming years, to capture growing GaN demand from automotive and data center applications, as well as medium- and long-term GaN demand in the Siasun Robot&Automation field. Currently, GaN adoption in data centers is still at an early stage, and the company is still exploring business models, including cooperating with power device suppliers or directly establishing partnerships with cloud service provider (CSP) customers.