February 24, 2026 06:27 PM GMT Global Technology AI boosts NAND demand, but Asian module maker margins may soon compress We see challenges for module makers with constrained supply, margin normalization, and weakening consumer SSD demand amid higher NAND prices. Phison and Longsys to EW. Memory supercycle – unequal beneficiaries: AI demand and tight supply have sharply shifted bargaining power across memory. Consensus EPS for the memory supply chain is up 279% YoY, versus 37% for our global tech coverage. S ...

We recently published an article titled 12 Best Data Storage Stocks to Buy Right Now. On February 5, Craig-Hallum raised its price target on Silicon Motion Technology Corporation (NASDAQ:SIMO) to $160 from $120 and maintained a Buy rating, citing market share gains and rising average selling prices amid sustained demand for its NAND flash controllers. While management expects near-term gross margin pressure in the March quarter due to rising memory costs, margins are projected to recover toward the 48%–50 ...

Industry Overview - Data storage stocks are positioned to benefit from the AI-driven infrastructure boom, with significant demand for high-capacity, low-latency memory, particularly DRAM and NAND, leading to a supply-demand imbalance and rising prices [2] - The acceleration of global data creation, driven by cloud adoption and generative AI workloads, has made scalable, high-speed storage essential for businesses [2] - Hyperscalers are expected to invest hundreds of billions of dollars into AI and data center infrastructure, ensuring long-term demand for storage hardware and memory suppliers [2] Company Insights - Silicon Motion Technology Corporation (NASDAQ:SIMO) has a market capitalization of $4.51 billion and is experiencing market share gains and rising average selling prices for its NAND flash controllers, despite near-term gross margin pressure [9][10] - NetApp, Inc. (NASDAQ:NTAP) reported second-quarter revenue of $1.71 billion, reflecting a 3% year-over-year growth, with significant traction in AI-driven workloads and a 76% year-over-year growth in Keystone storage-as-a-service revenue [12][13]

Group 1 - The core viewpoint of the article highlights a decline in the U.S. stock market for storage concept stocks, with Seagate Technology dropping by 4% and Western Digital falling over 3% [1] - Samsung Electronics is reportedly negotiating prices for the new generation HBM4 chips, with quotes up to 30% higher than the previous generation, reaching approximately $700 [1] Group 2 - Seagate Technology (STX) experienced a decline of 4.03%, with a total market capitalization of $88.861 billion and a year-to-date increase of 47.80% [2] - Western Digital (WDC) saw a decrease of 3.40%, with a market cap of $97.211 billion and a year-to-date increase of 66.30% [2] - Silicon Motion (SIMO) fell by 1.73%, with a market cap of $4.434 billion and a year-to-date increase of 41.27% [2] - Micron Technology (MU) decreased by 1.02%, with a market cap of $468.921 billion and a year-to-date increase of 45.98% [2] - Rambus (RMBS) had a slight decline of 0.23%, with a market cap of $11.221 billion and a year-to-date increase of 13.29% [2] - Pure Storage (PSTG) saw a minor decrease of 0.14%, with a market cap of $23.937 billion and a year-to-date increase of 8.19% [2] - SanDisk (SNDK) was the only stock to rise, increasing by 1.75%, with a market cap of $90.258 billion and a year-to-date increase of 157.34% [2]

Core Viewpoint - Silicon Motion Technology Corporation (SIMO) is experiencing strong momentum with significant Q4 results and optimistic Q1 guidance, making it a compelling investment opportunity in the tech sector. Group 1: Analyst Ratings and Price Targets - B. Riley raised its price target on SIMO to $167 from $135 while maintaining a Buy rating [1] - Wedbush analyst Matt Bryson increased the price target on SIMO to $150 from $130 while keeping an Outperform rating [2] Group 2: Financial Performance and Guidance - SIMO expects Q1 revenues to be between $292 million and $306 million, exceeding the average estimate of $230.44 million [3] - The company projects Q1 operating margins of 16% to 18%, indicating higher profitability [3] - Management anticipates a sequential revenue increase throughout 2026, targeting revenues of $1.2 billion [2] Group 3: Company Overview - Silicon Motion Technology Corporation is a global leader in developing NAND flash controllers and related storage solutions for various applications, including SSDs, mobile embedded storage, and industrial uses [4]

Investors might want to bet on Silicon Motion (SIMO) , as earnings estimates for this company have been showing solid improvement lately. The stock has already gained solid short-term price momentum, and this trend might continue with its still improving earnings outlook.The upward trend in estimate revisions for this chip company reflects growing optimism of analysts on its earnings prospects, which should get reflected in its stock price. After all, empirical research shows a strong correlation between tr ...

Core Viewpoint - The U.S. stock market for storage concept stocks experienced a broad increase, with notable gains in several companies within the sector [1]. Group 1: Company Performance - Pure Storage (PSTG) saw a rise of 7.67%, with a total market capitalization of 22.851 billion and a year-to-date increase of 3.28% [2]. - Western Digital (WDC) increased by 4.07%, boasting a market cap of 91.801 billion and a year-to-date gain of 57.18% [2]. - Rambus (RMBS) rose by 3.78%, with a market value of 10.96 billion and a year-to-date increase of 10.80% [2]. - Seagate Technology (STX) experienced a 3.52% increase, with a market capitalization of 91.527 billion and a year-to-date rise of 52.41% [2]. - Silicon Motion (SIMO) grew by 2.15%, with a market cap of 4.38 billion and a year-to-date increase of 39.04% [2]. - SanDisk (SNDK) saw a 1.21% rise, with a market value of 86.054 billion and a year-to-date increase of 145.66% [2]. - Micron Technology (MU) increased by 1.25%, with a market capitalization of 436.324 billion and a year-to-date gain of 35.83% [2].

Core Viewpoint - Silicon Motion Technology Corporation (SIMO) is positioned as a favorable investment opportunity within the memory super-cycle, driven by increasing demand from data centers and AI applications [1] Group 1: Company Overview - Silicon Motion Technology Corporation specializes in memory controllers, which are essential components in the memory market [1] Group 2: Market Trends - The current market is experiencing a super-cycle in memory demand, largely fueled by advancements in data center technologies and artificial intelligence [1]

Core Viewpoint - Silicon Motion Technology Corp. reported better-than-expected fourth-quarter sales results and provided first-quarter sales guidance above market estimates, despite missing earnings per share expectations [1][2]. Group 1: Financial Performance - The company reported quarterly earnings of $1.26 per share, which was below the analyst consensus estimate of $1.30 per share [1]. - Quarterly sales reached $278.461 million, exceeding the analyst consensus estimate of $260.987 million [1]. Group 2: Future Guidance - For the first quarter, Silicon Motion expects sales between $292.000 million and $306.000 million, significantly higher than market estimates of $230.755 million [2]. Group 3: Market Reaction - Following the earnings announcement, Silicon Motion shares fell by 5.6% to $121.20 in pre-market trading [2]. Group 4: Analyst Ratings - Needham analyst Neil Young maintained a Buy rating on Silicon Motion and raised the price target from $125 to $155 [4]. - Wedbush analyst Matt Bryson also maintained an Outperform rating and increased the price target from $130 to $150 [4].

Silicon Motion Technology Corp. (NASDAQ:SIMO) reported better-than-expected fourth-quarter sales results and issued first-quarter sales guidance above estimates, after the closing bell on Tuesday.Silicon Motion Technology reported quarterly earnings of $1.26 per share which missed the analyst consensus estimate of $1.30 per share. The company reported quarterly sales of $278.461 million which beat the analyst consensus estimate of $260.987 million.Silicon Motion Technology said it sees first-quarter sales o ...