Samsung and SK Hynix The dynamic PE ratio is actually only 3-5x now, which means that with the current profitability, the company could buy back its market cap with 3 years of profits. So, is it time to bottom fish? Looking at Samsung and SK Hynix's financial reports won't help. You need to look at their future orders— Can they sustain this for three years? This depends on AI companies targeting the consumer market, like OpenAI and Anthropic. As long as they can make money, it shows demand is strong enough, and future procurement will likely increase. But if these two leading AI companies miss their expected revenue growth, things could collapse quickly. The market seems to think the entire AI infrastructure is about to lose momentum. If we don’t focus on these two companies, and instead look at other tech giants— like Meta and Google, who aren’t profitable in the consumer AI space— it’s hard to imagine they’ll have the capacity for large-scale procurement increases. Especially since their operating cash flow turned negative last quarter. AI definitely has demand, but how big is that demand really? Can it live up to current expectations? The market is searching for answers as it bottoms out. Back when Samsung and SK Hynix were hot, I advised you to stay calm and not chase storage chip stocks. The trend of large-scale AI adoption hasn’t changed. But is it time to bottom fish now? I don’t have an answer yet. I haven’t bottomed out on Samsung or SK Hynix either.