For me, confirmation would require more than another earnings beat. I would want to see HBM demand remain supply-constrained, NAND and DRAM pricing continue improving, and data-centre demand broaden beyond a handful of hyperscalers.
SanDisk will be particularly useful for testing whether strength is spreading from AI memory into enterprise storage. Rising enterprise SSD volumes and prices, improving margins and strong free cash flow would strengthen the case.
The biggest signal would be capacity growth remaining disciplined despite high prices. Memory cycles often turn when strong pricing encourages excessive supply. If SK Hynix, Samsung and Micron can expand HBM while avoiding an uncontrolled increase in conventional memory capacity, the upcycle could have considerably further to run.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
