Storage chip concept active, Tongyu Technology up 20% limit, Baivi Storage reaching new highs

Storage chip concept: Strong intraday performance on the 18th. As of the latest report, Tongyou Technology hit the 20% daily limit, Langke Technology rose over 16% to a new high, Shenkeda increased more than 15%, Chengbang Shares and China Electronics Port also hit the daily limit; Baiwei Storage rose nearly 9%, continuing to reach new highs during the session.

In terms of news, on March 17, SK Group Chairman Chey Tae-won stated at NVIDIA GTC that due to systemic bottlenecks in chip production, he expects the global memory chip shortage to likely persist until 2030. Meanwhile, he predicts that prices for DRAM, NAND, and HBM storage chips will continue to rise, with the upward trend possibly lasting for a long time.

Southwest Securities pointed out that the AI large model technology has exceeded expectations with iterative upgrades, leading to explosive growth in global token consumption. This has driven massive demand for data storage, processing, and retrieval, ushering in a super boom cycle for the storage industry. Overseas major manufacturers are shifting limited capacity toward high-margin HBM and DDR5 products, severely squeezing capacity for consumer and low-end storage chips, expanding the supply-demand gap. Additionally, after over-investment in capacity and capital expenditure in the last cycle, storage manufacturers are more cautious in expanding capacity this cycle; high-end HBM storage chips face long cleanroom construction cycles and difficulty in improving yield rates, resulting in short-term tight supply. Under the backdrop of exploding demand and rigid supply, CFM flash memory market forecasts that storage prices will continue to rise overall through 2026.

The institution believes that amid the booming global storage industry, domestic storage companies are rapidly rising by leveraging engineer talent, improved infrastructure, and a complete industry chain. Represented by Yangtze Memory, Changxin Storage, GigaDevice, and Jiangbolong, these local enterprises are expanding capacity and steadily improving yields through independent architecture innovation and process iteration, making breakthroughs in AI computing power, consumer electronics, and enterprise markets, shifting China’s storage industry from scale growth to technological leadership.

(Source: Securities Times)