Chinese Rocket Shares Slump After Warnings on ‘Irrational’ Rally

Shares of Chinese companies tied to commercial rockets production tumbled after they cautioned that a recent rally had outpaced underlying fundamentals.

Hunan Aerospace Huanyu Communication Technology Co. plunged as much as 20% on Tuesday, while China Spacesat Co. dropped as much as 10% before rebounding. Goldwind Science & Technology Co., which has a stake in rocket startup LandSpace Technology Corp., fell more than 13%.