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Taiwan Stocks Slip as Institutional Investors Sell, Yet 10 Small-Caps Surge Over 20%

Electronic Technology · Semiconductors · economic_daily · 2026-09-11

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Despite a weekly decline in the Taiwan stock market, select small-cap stocks like GUC have defied the trend, posting gains of over 20% amid strong fundamentals.

What Happened

Market Performance: The Taiwan stock market faced downward pressure this week, ending the week down 366 points and snapping a two-week winning streak. Despite institutional selling totaling nearly NT$40 billion, specific small-cap stocks with strong fundamentals continued to outperform the broader market.

GUC Leads the Rally: ASIC design service provider GUC Technology emerged as the top performer, surging 50.79% over the week. The company's growth is driven by the maturation of 12nm projects and robust demand for high-speed interface products, leading to an optimistic outlook for the remainder of the year.

Viking Tech's Recovery: Resistor manufacturer Viking Tech also saw a significant 33.58% weekly gain, supported by improving demand in AI servers, high-speed networking, and automotive applications. The company recently hit a record monthly revenue in August and has successfully entered the SpaceX low-orbit satellite supply chain.

Broad Small-Cap Strength: Alongside GUC and Viking Tech, other stocks including Sheng Tai, Medimaging Integrated, and Alltek also recorded gains exceeding 20%. This divergence highlights that even during periods of institutional liquidation, investors remain focused on companies with clear growth narratives and solid earnings momentum.

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