Bernstein: The valuation of Kaixia is too high, and the stock price may have a 50% downward potential According to a report by Golden Finance on June 17th, Bernstein believes that there is a 50% downward potential for the stock price of Japan's highest valued stock, storage giant Kaixia. Analysts pointed out in a report that unless the long-term gross profit margin reaches 65% or the supply shortage continues until 2032, the stock will be overvalued and maintain a "weaker than market" rating. Bernstein still believes that NAND flash prices will peak in 2027, and gross profit margins will return to normal at around 30% by the end of 2028. On the other hand, given the short-term market momentum supporting the stock price, the target price for Kaixia has been raised from the previous 17000 yen to 40000 yen. Kaixia closed up 1.35% today at 96000 yen, setting a new historical high with a market value of 52.45 trillion yen, firmly ranking as the highest valued company in Japan. Kaixia has risen 820% since the beginning of the year.