Morgan Stanley points out that due to limited new DRAM capacity in recent years and a large amount of capacity consumption by HBM, DRAM is experiencing an unprecedented supply-demand imbalance "super cycle". Galaxy Securities research reports point out that under the background of AI, domestication, demand recovery, and the continuous rise of digital economy's demand for storage, there is a bullish investment opportunity in the storage industry chain.
Morgan Stanley pointed out that due to limited new capacity of DRAM factories in recent years and the large consumption of capacity by HBM, DRAM is experiencing an unprecedented supply and demand imbalance "super cycle", with a supply gap of up to 23% for standard DRAM next year, which will be more severe than HBM and rare in recent years, and prices will rise all the way. Goldman Sachs has raised its price increase estimate for third-quarter DRAM and NAND chips this year from the original expectation of 8% and 10% to 13% and 20%, an increase of more than 60%.
Driven by the demand for AI and the super cycle of memory market caused by insufficient capital expenditures in the past two years, Shanxi Securities pointed out that the trend of rising prices is clear and storage has entered a new upward cycle, grasping the industry cycle reversal opportunity. In the future, with the improvement of operating margin brought by the continuous rise in storage prices, leading storage manufacturers are expected to achieve both performance and valuation, and there is a large room for rebound in the industry. The research report of Galaxy Securities pointed out that the storage chip track belongs to high-growth and strong-cycle industries, and the current point in time is a new starting point for the next cycle of the storage chip track. Under the background of AI, localization, demand recovery, and the continuous increase in digital economy's demand for storage, it is bullish on investment opportunities in the storage industry chain.
According to the Financial Data Center, among related listed companies:
Gigadevice Semiconductor Inc. products include NorFlash, SLCNANDFlash, DRAM, MCU and other series of products. The price of SLCNAND is expected to rise moderately in 2024.
Montage Technology is one of the three mainstream DDR5 memory interface chip suppliers in the world, with a leading industry position. In January 2024, the company launched the fourth generation RCD chip of DDR5, supporting a data rate of 7200MT / S, and has sent engineering samples of the product to major memory manufacturers.