Storage-Related ETFs Continue to Rise as Global Memory Chip Firms Strengthen; Analysts See Sustained Growth Potential

Storage-themed exchange-traded funds (ETFs) are maintaining an upward trajectory. As of the latest update, the South Korea Double Long Hynix ETF (07709) has surged 27.8% to HK$100.3, while the South Korea Double Long Samsung Electronics ETF (07747) has gained 6.44% to HK$147.8.

Market reports indicate that escalating tensions in the Middle East, with the U.S. and Iran rejecting each other's proposals to end the conflict, have prompted capital flows into South Korean equities. Concurrently, as memory demand soars, Micron Technology (MU) shares have reached record highs. Samsung Electronics, the world's largest memory chip manufacturer, recently entered the trillion-dollar market capitalization club. SK Hynix's stock price is also trading near historic peaks.

By May 9, driven by robust earnings from major technology companies, U.S. stock markets extended their gains over recent sessions, with all three major indices closing higher.

CICC analysts note that memory manufacturers currently face both subjective and objective constraints on capacity expansion, with effective new capacity expected to remain limited through 2026. Substantial new supply is unlikely to materialize before late 2027 to 2028. From a supply-demand perspective, this suggests the memory sector has a growth window of at least two years and is far from reaching a peak.