Latest news with #NAND
Yahoo
3 days ago
- Business
- Yahoo
BofA starts Sandisk at Buy on margin upside, NAND recovery prospects
-- Sandisk Corp was initiated with a Buy rating and a price objective of $61 by BofA, which sees the flash storage maker as a key beneficiary of an early-stage recovery in NAND pricing and improving operating margins. Sandisk's shares were up 5% at $46.55. BofA's $61 price target implies more than a 30% upside. The brokerage cited several tailwinds behind its bullish view, including a more favorable supply-demand balance in the NAND market, the potential for operating leverage as pricing improves, and Sandisk's exposure to relatively resilient end markets. Sandisk, a major developer of NAND-based data storage devices, has also benefited from a joint venture with Japan's Kioxia, which helps share rising capital expenditures in an industry where annual costs have soared to as much as $30 billion. That structure, along with conservative production management, has made Sandisk's margins more stable in downturns, the brokerage said. While eSSD adoption is still growing, accounting for only 15% of revenue in the second half of 2024, the note flagged long-term margin and valuation improvement if pricing trends firm up across the industry. Still, the firm warned of several risks to its thesis, including heightened price competition from Chinese rival YMTC, the fragmented nature of the NAND market, and the sector's vulnerability to economic cycles and capex volatility. Despite these challenges, the brokerage said Sandisk's positioning and valuation leave room for upside as industry fundamentals stabilize. Related articles BofA starts Sandisk at Buy on margin upside, NAND recovery prospects Microsoft plans to cut thousands of jobs in sales division - Bloomberg Barclays and Santander are potential bidders for Banco Sabadell's TSB unit
Arabian Post
4 days ago
- Automotive
- Arabian Post
Powerhouse Chaebols Propel South Korea's Economy to New Heights
A coalition of South Korea's top 100 firms generated an economic contribution of 1,615.2 trillion won in 2024, marking a 3.9 percent rise from the previous year, according to CEO Score data released on 18 June. Samsung Electronics led the charge with a 7 percent increase to 157.5 trillion won, accounting for 9.8 percent of the total haul. This growth reflects an integrated model of wealth distribution across stakeholders—suppliers, workers, government, shareholders and communities. Total sales of these firms reached 2,122.4 trillion won, growing 6.6 percent year-on-year, underlining the deep economic interlinkages driving expansion. Hyundai Motor secured the second position with a contribution of 115.2 trillion won, followed by Kia at 86.6 trillion won, which spectacularly posted the steepest increase thanks to surging supplier payments. Among the top ten contributors were LG Electronics, Hyundai Mobis, GS Caltex, SK Energy, Posco, Samsung C&T and LG Chem. In contrast, LG Energy Solution saw a pronounced drop of 28.3 percent to 19.2 trillion won, weighed down by lower stakeholder payouts. ADVERTISEMENT Industry breakdown highlights that electronics and IT firms contributed about 370 trillion won, followed by petrochemicals at 312 trillion won and the auto sector at 303.5 trillion won. Construction, shipbuilding, steel and distribution made further sizeable additions, reflecting a diverse industrial base. The dominance of chaebol giants—especially Samsung—continues unabated. Samsung and its affiliates, constituting nearly a quarter of national GDP, help drive national innovation and exports. Beyond scale, these conglomerates are embracing strategic shifts. Government figures show a record R&D investment of 83.6 trillion won by South Korean firms, with Samsung alone ploughing 30.2 trillion won into innovation, followed by SK hynix at 4.5 trillion won, Hyundai at 4.3 trillion won, and LG Electronics at 3.4 trillion won. Despite stepping up R&D budgets by 15.3 percent, only 40 domestic firms made the global top 2,000 by R&D outlays, compared to 681 in the US and 524 in China—underscoring scope for further thrust in innovation. Within semiconductors, South Korea continues to hold a dominant global footprint, commanding approximately 60 percent of the DRAM market and 52.6 percent of NAND, led by Samsung and SK hynix. Notably, SK hynix claimed 36 percent of DRAM market share in Q1 2025, overtaking Samsung's 34 percent. This data reveals a dual narrative: chaebol behemoths remain the backbone of the economy, but a growing reliance on innovation and global competitiveness is reshaping the corporate landscape. Hyundai's pivot to electric vehicles, Kia's ramped-up supplier integration and LG's diversification into chemicals and energy solutions are emblematic of this shift. However, concentration risk persists. Samsung and its affiliates form a significant share of GDP and exports, but reliance on a limited set of heavyweights may expose the economy to global headwinds. The comparative lag in R&D-intensive mid-sized firms risks stifling long-term resilience. Nevertheless, public policy is responding. Regulatory tweaks aimed at supporting corporate research and streamlining licensing protocols, alongside financial incentives and infrastructure development, suggest a proactive stance to broaden innovation beyond the chaebol core. As South Korea navigates economic turbulence—from fluctuating global demand to supply chain uncertainties and U.S.–China tech tensions—the measured expansion of stakeholder-driven value and intensification of R&D efforts signal a strategic repositioning.
Yahoo
5 days ago
- Business
- Yahoo
UBS Raises Price Target on Micron (MU), Keeps Buy Rating
Micron Technology, Inc. (NASDAQ:MU) is one of the 10 Best American Semiconductor Stocks to Buy Now. On June 5, UBS analysts increased the price target for Micron Technology, Inc. (NASDAQ:MU) from $92 to $120 and kept a 'Buy' rating. This decision came after a round of industry checks that showed a more stable demand environment for DDR across various end markets. This stability is supported by not only smartphones and PCs, but also by increased demand for server DDR5 from hyperscalers. UBS analysts expect the average selling price of DDR to increase by 7% in the second quarter and by 3% in the third quarter. The analysts did not change the price expectations for NAND, but they pointed out that if suppliers keep their supply disciplined, it could have a positive impact. A close-up view of a computer motherboard with integrated semiconductor chips. Additionally, UBS adjusted its forecast for High Bandwidth Memory (HBM) demand while noting that the ramp-up of AI chips like Google's TPU v6e/v7 and AWS's Trainium 3 is slower than expected. UBS analysts expect industry demand of about 16.3 billion gigabits of HBM in 2025 and 25.4 billion gigabits in 2026. Micron Technology, Inc. (NASDAQ:MU) is expected to ship its HBM3E 12-Hi to NVIDIA in June, which is later than the previously expected time of April or May. UBS analysts believe this delay will only have a limited impact on the company's topline. However, they think Micron Technology, Inc. (NASDAQ:MU) could grow if the market becomes more confident in the company's earnings potential for 2026 and later. Micron Technology, Inc. (NASDAQ:MU) is a leading semiconductor technology company that is known for its innovative memory and storage solutions. While we acknowledge the potential of MU as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 11 Stocks That Will Bounce Back According To Analysts and 11 Best Stocks Under $15 to Buy According to Hedge Funds. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
TD Cowen Lowers Lam Research (LRCX) Price Target, Keeps Buy Rating
Lam Research Corporation (NASDAQ:LRCX) is one of the 10 Best American Semiconductor Stocks to Buy Now. On April 24, TD Cowen reduced the price target for Lam Research Corporation (NASDAQ:LRCX) from $110 to $100 but kept a 'Buy' rating. TD Cowen analysts noted that key catalysts for Lam Research Corporation's (NASDAQ:LRCX) future growth include higher deposition/etch intensity and a recovery in NAND Wafer Fabrication Equipment (WFE). The analysts also pointed out that the company's guidance for the June quarter was strong and it beat consensus revenue estimates by 9%. This was mainly supported by strong demand in the NAND and Foundry markets, including Chip on Wafer on Substrate (CoWoS) and Gate-All-Around (GAA) technologies. A technician operating an automated semiconductor processing machine with laser accuracy. The firm's analysts see these results as good news for Lam Research Corporation (NASDAQ:LRCX), which is focusing on growing its market share in the Foundry segment. Lam Research Corporation (NASDAQ:LRCX) is a global supplier of wafer fabrication equipment and services to the semiconductor industry. While we acknowledge the potential of LRCX as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 11 Stocks That Will Bounce Back According To Analysts and 11 Best Stocks Under $15 to Buy According to Hedge Funds. Disclosure: None.
Yahoo
6 days ago
- Business
- Yahoo
BofA Boosts Lam Research (LRCX) Target to $100 Amid DRAM Tailwinds
Lam Research Corp. (NASDAQ:LRCX) is one of the 10 best tech stocks to buy according to billionaires right now. In a recent update dated June 9, BofA Securities analyst Vivek Arya reiterated his Buy rating on Lam Research and raised the stock's price target to $100 (up from $90), driven by a more constructive outlook on NAND, as well as continued strength in advanced DRAM markets, including DDR5 and HBM. Following discussions with Lam Research's management during the 2025 Bank of America Global Technology Conference, Arya highlighted positive signals not only from Lam but also from KLA Corp and Applied Materials. All three companies pointed to sustained momentum in leading-edge foundry/logic and advanced DRAM wafer fab equipment (WFE) demand this year. According to Arya, this strength is playing a key role in balancing out ongoing softness in China and in spending on trailing-edge nodes. This, in turn, is helping the sector stay on track for mid-single-digit year-over-year growth in calendar 2025. An engineer in a lab coat examining a state-of-the-art semiconductor chip. At the conference, the company projected the wafer fab equipment market to grow by mid-single-digit to around $100 billion, from around $90 billion last year. Lam Research is positioning itself to secure a substantial share of this growth, particularly in etch and deposition, where investment is projected to rise from the low to high 30% range. Lam Research Corp.'s (NASDAQ:LRCX) management also commented on early-stage NAND upgrade activity taking place across multiple customers, framing it as part of a broader, long-term $40 billion market opportunity. Importantly, despite recent concerns surrounding regulatory developments, Arya noted that all major vendors view China as effectively 'de-risked' for 2025, with sales contribution expected to stabilize in the 25%–30% range. Lam Research Corp. (NASDAQ:LRCX) is a leading semiconductor equipment manufacturer that provides wafer fabrication equipment and services to the semiconductor industry. The company's innovative systems for wafer etching and deposition are essential for the advanced nodes of semiconductor technology, enabling the creation of smaller and more efficient integrated circuits. While we acknowledge the potential of LRCX as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
