SK Hynix Has a Massive Warning for Sandisk Stock Investors

Yahoo Finance ·

Sandisk ( SNDK 0.03% ) stock has made investors significantly richer over the past year, delivering stunning gains of more than 3,660% as of this writing. The stock's phenomenal jump can be justified by the incredible increase in its revenue and earnings, fueled by the artificial intelligence (AI)-driven demand for storage chips. The demand for the NAND flash chips that Sandisk sells has significantly outpaced supply. The supply shortage has resulted in a significant jump in NAND flash prices, powering Sandisk's growth in the process. However, a recent announcement by memory giant SK Hynix may dent the very catalyst that's fueling Sandisk growth. According to a recent report, SK Hynix is reportedly going to invest $51 billion to build a new NAND flash production facility in South Korea by 2029. The company intends to address the ongoing NAND flash supply shortage, which has been exacerbated by the rapidly rising demand for storage in AI data centers.

DYAX Investor Sentiment

Bullish (Long) 53% · Bearish (Short) 47%

316 participants

Related News

원문 보기 — Yahoo Finance