Micron Technology(US:MU) Mei Ri Jing Ji Xin Wen·2025-11-16 07:49Core Viewpoint - The storage chip sector in A-shares experienced a significant decline, driven by disappointing earnings from Kioxia Holdings, which negatively impacted both A-share and U.S. storage chip stocks [1][6]. Group 1: Market Performance - On November 14, A-share storage chip stocks plummeted, with several stocks, including Baiwei Storage, Jiangbolong, and Puran Co., seeing declines exceeding 10% [1][6]. - The storage chip index fell to 1714.42, down 2.94% [2]. - Notable declines included: - Tongyou Technology: -12.08% - Baiwei Storage: -10.96% - Jiangbolong: -10.77% - Puran Co.: -10.19% [2][6]. Group 2: Earnings Reports - Kioxia's second-quarter revenue was 448.3 billion yen, below market expectations of 461.1 billion yen, with a year-on-year decline of 6.8% [6]. - Adjusted net profit fell to 40.7 billion yen, a drop of over 60% year-on-year, also below the expected 47.4 billion yen [6]. - The disappointing performance was attributed to fixed-price agreements with Apple for mobile NAND chips, which limited Kioxia's ability to benefit from rising market prices [6][7]. Group 3: Price Trends and Market Dynamics - The global storage market entered a new high prosperity cycle this year, with storage chip prices rising sharply due to AI demand [3]. - On November 14, Samsung Electronics raised prices for some memory chips by 30% to 60% compared to September, driven by strong demand and supply shortages [4][9]. - The price of a 32GB DDR5 memory module increased from $149 in September to $239 in November, marking a rise of over 60% [9]. - Analysts noted that the current market is characterized as a seller's market, with significant price increases expected due to strong demand and limited supply [10][12]. Group 4: Supply Chain and Production Adjustments - Major storage manufacturers, including Samsung, SK Hynix, and Kioxia, are reportedly planning to increase NAND prices while reducing supply to drive price increases [12]. - Omdia's data indicated that Samsung's NAND wafer production target was adjusted down by approximately 7% to 4.72 million wafers this year [12]. - The NAND product average selling price is rapidly increasing, influenced by significant price hikes from major suppliers like SanDisk, which raised NAND flash contract prices by up to 50% [13][14].