Ben Tiger
09-14

The current HBM shortage is still supporting a broader memory supercycle. Recent reports say DRAM and HBM pricing remain extremely tight, HBM supply is effectively sold out, and the imbalance may persist into 2027 or longer as AI demand keeps pulling capacity away from conventional memory .


Can the supercycle last? The evidence says it can last longer than a normal memory upswing because this one is being driven by AI infrastructure, not just a temporary inventory correction. Several sources point to structural tightness through at least 2027, with meaningful easing not expected until new capacity ramps later .


The best-positioned memory stocks are:


Micron Technology (MU): The cleanest public-market exposure to HBM, with reports that its 2026 HBM output is sold out and pricing is locked in under multi-year commitments .


SK hynix: Often viewed as the HBM leader, with the strongest operating leverage if HBM demand stays ahead of supply .


Samsung Electronics: Less pure-play than Micron or SK hynix, but still a major beneficiary because it is one of the few HBM suppliers and is expanding its AI-memory mix .


A practical way to think about this is: the supercycle favors the firms that can sell scarce HBM at better pricing for longer, while the downside risk is that a faster-than-expected capacity build-out ends the shortage earlier than investors expect.

CXMT DRAM Breakthrough Hammers Memory and Optical Stocks — Panic or Repricing?
AI hardware sold off hard Monday: SanDisk -5.97%, Lumentum -9.78%, Micron -3.88%, SK Hynix -4.02%. Trigger: CXMT's president announced a 4F² DRAM architecture breakthrough at a weekend conference, targeting server memory by end-2026 — reviving fears of Chinese competition on pricing. Broadcom CEO Hock Tan warned capital, not chips, is now AI's primary bottleneck. Bulls say CXMT still faces major yield hurdles before any volume ramp; bears say once markets price in Chinese DRAM competition, fundamentals can't stop the re-rating. Has this changed your conviction in memory stocks?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment