SMIC Shares Plunge on Concern About Unprofitable Chipmaking
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Semiconductor Manufacturing International Corp.’s shares fell by their most since November, after executives warned of further pressure on its profitability.
The Shanghai-based chipmaker, already constrained by US sanctions, said on Wednesday that economic and geopolitical uncertainties could further erode margins, after posting better-than-expected earnings the day before. Shares in Hong Kong fell as much as 7.4%, adding to a significant slump since the start of the year amid ongoing routs in the financial hub and mainland China.