Citi Forecasts Memory Market Will Remain in Short Supply Through Next Year

Stock News11-04

Citi has released a report stating that the bank has revised its supply and demand outlook for DRAM (Dynamic Random Access Memory) and NAND (flash memory) to reflect third-quarter 2026 earnings releases and recent market developments, and it expects the memory market to remain in a state of sustained undersupply in 2027.

The bank noted that, given that global memory suppliers such as Samsung and Hynix have raised their bit growth guidance, and affected by upward revisions to supply guidance and weak consumer NAND demand, the DRAM supply-demand gap in 2027 is expected to narrow from -8.7% to -3.8%.

Nevertheless, due to strong growth in demand for server DRAM and enterprise solid-state drives (eSSD) (projected to grow 53% and 52% year-on-year respectively in 2027), memory demand still exceeds newly added supply; at present, the memory supply-demand fulfillment ratio (S/D fulfillment ratio) remains at around 70%.

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