Biren Tech's stock plummeted 5.15% during intraday trading on Tuesday, marking a significant pullback for the semiconductor company.

The decline comes after the stock surged over 26% in the prior week, driven by multiple positive catalysts including its inclusion in the Hang Seng Composite Index, the Biren 166 chip receiving National Security Level-I certification, and buy ratings from multiple institutions. The sharp prior rally attracted short-term profit-taking, weighing on the stock price.

Additionally, the broader semiconductor sector traded under pressure during the session, creating sector-wide headwinds that compounded selling pressure on Biren Tech. Several other semiconductor stocks also declined, contributing to the negative sentiment in the sector.