Key Moments
- Leading memory chipmakers advanced in trading as investors positioned for further price increases amid a global supply squeeze tied to AI infrastructure build-outs.
- Samsung, SK Hynix and Micron have already logged outsized gains, with Micron’s shares surging 240% in 2025 while the benchmark chip index rose 42%.
- Analysts have characterized the current upturn as a “supercycle” and projected that tight market conditions could extend well into 2027.
AI Boom Tightens Global Memory Supply
Shares of the largest memory chip manufacturers rose on Monday as investors focused on a worsening global supply shortage driven by accelerating demand for artificial-intelligence infrastructure.
Samsung co-CEO TM Roh described the scale of the shortage as “unprecedented” in an interview with Reuters, aligning with other industry executives who have cautioned that supply constraints could last for months, and potentially years, as AI-related projects absorb available capacity.
Capacity Shift to High-Bandwidth Memory
To meet surging orders for AI servers, memory producers have been reallocating manufacturing capacity to high-bandwidth memory products. This shift has left reduced availability for other categories, including flash chips used in USB drives and smartphones, tightening supply across a wide range of end markets.
Market-research firm TrendForce has reported that prices in some memory segments have more than doubled since February last year, drawing in traders who are wagering that the rally still has room to extend.
Market Reaction and Stock Performance
In premarket trading, shares of Micron Technology Inc (MU.O) were up more than 3%. In South Korea, SK Hynix Inc (000660.KS) ended the session nearly 3% higher, while Samsung Electronics Co Ltd (005930.KS) closed with a gain of about 7.5%.
Micron CEO Sanjay Mehrotra said last month that he expects memory market conditions to remain tight past 2026. Micron’s stock delivered a 240% gain in 2025, far exceeding the 42% advance in the benchmark chip index over the same period.
Samsung’s share price more than doubled in value last year, and SK Hynix nearly quadrupled over that time frame.
| Company | Exchange / Ticker | Recent Move Mentioned | Performance Reference |
|---|---|---|---|
| Micron Technology | MU.O | Up more than 3% in premarket trading | Shares gained 240% in 2025 vs 42% for benchmark chip index |
| Samsung Electronics | 005930.KS | Closed up about 7.5% | Shares more than doubled in value last year |
| SK Hynix | 000660.KS | Closed up nearly 3% | Shares jumped nearly four-fold last year |
Broad-Based Gains Among Smaller Peers
Smaller memory-related names also participated in the move. SanDisk, Western Digital, Applied Digital and Seagate Technology were trading between 2.5% and 4.5% higher in premarket action on Monday.
Cyclical Dynamics and the Emerging “Supercycle”
The memory sector has historically been highly cyclical, with pronounced booms and busts and sharp swings in pricing. Analysts at Morningstar and J.P. Morgan have assessed that the current upswing – frequently labeled a “supercycle” – could endure well into 2027, underpinned by ongoing strength in AI-driven demand and constrained supply.





