Investors often group all memory companies together because history tells us memory is cyclical and commoditized. But AI may be creating a new category within memory itself. HBM is not standard DRAM competing purely on price. It requires advanced packaging, manufacturing expertise and years of customer qualification. Those barriers create a moat that many investors may be underestimating. The market once valued cloud companies differently from traditional software companies because their economics were different. Perhaps AI memory leaders deserve a different valuation framework from traditional memory businesses as well. Bullish on SK Hynix.
Memory Prices Up Over 500% — Does That Still Count as Good News?
Memory rallied Thursday on a line from Intel's CEO: memory prices are up more than 500%. Micron +5.50% to $977.50, SanDisk +6.21% to $1,614.39, SK Hynix +4.64% to $182.99. Intel led them all, +7.67% to $108.80, on a second day of the SK Hynix foundry reports, which several outlets say is still not a deal. Wednesday the foundry rose 4% and memory sat still; Thursday memory caught up. Worth noting who said it. The 500% is a buyer describing what it now pays, not a seller reporting what it now earns. Same sentence, read as a cost complaint and as a bull case. Which is it?
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