'White-Haired Stock God' Serenity: ESMT May Replicate Sandisk's Performance, Storage Chip Price Hikes Still Have Room to Grow

Odaily Planet Daily News – 'White-Haired Stock God' Serenity posted on the X platform, expressing optimism about the performance of storage chip manufacturer Elite Semiconductor Memory Technology (ESMT, 3006) in the coming months, suggesting its trajectory might replicate the strong market performance of Sandisk (SNDK). Serenity noted that the current price of a single DDR2 storage chip is approximately $0.96, and if the ASP (average selling price) triples, the cost per unit would increase by about $2. While this cost increase is relatively limited for end products, it could have a significant impact on ESMT's profits if storage product prices continue to rise. Additionally, SLC NAND ASP is expected to increase by 120% to 170% in the second half of the year, with NOR Flash and other products also anticipated to see price hikes. Serenity stated that based on July's performance, ESMT's current monthly net profit is approximately $111 million, with a market capitalization of about $2.8 billion, suggesting that its valuation still has substantial room for re-evaluation. Serenity remarked that ESMT's current situation reminds them of Sandisk in its early days, but this opportunity is primarily focused on the traditional and niche storage markets.