Choi Chang-jun

The three major memory semiconductor companies (Samsung Electronics, SK Hynix, Micron Technology) are in a super cycle driven by AI data center demand, disciplined supply by the trio, and extremely low valuations (P/E 7-10x for memory vs Nvidia's 25-28x). The Q1 2026 earnings were the bottom, and operating profits will grow sharply through the rest of 2026 and into 2027. Their near-monopoly on DRAM, NAND, and HBM ensures pricing power. Market caps are undervalued relative to earnings, and upcoming IPOs (SpaceX, OpenAI) will further boost semiconductor demand. Therefore, these stocks have significant upside and are not in a bubble.

The three major memory semiconductor companies (Samsung Electronics, SK Hynix, Micron Technology) are in a super cycle driven by AI data center demand, disciplined supply by the trio, and extremely low valuations (P/E 7-10x for memory vs Nvidia's 25-28x). The Q1 2026 earnings were the bottom, and operating profits will grow sharply through the rest of 2026 and into 2027. Their near-monopoly on DRAM, NAND, and HBM ensures pricing power. Market caps are undervalued relative to earnings, and upcoming IPOs (SpaceX, OpenAI) will further boost semiconductor demand. Therefore, these stocks have significant upside and are not in a bubble.

Samsung Electro-Mechanics is benefiting from a shift in MLCC demand toward data center servers, where its early investments give it an edge. Recent target price upgrades from 170,000 won to 200,000-220,000 won and strong price action (including related stocks like LG Innotek limit-up) confirm the trend. The company's MLCC business is poised to grow rapidly as AI server deployments accelerate.

The market is being led by AI data center-driven semiconductor demand, with structural growth rather than cyclical. Key beneficiaries include Samsung Electronics, SK Hynix, SK Square, Samsung Electro-Mechanics, Samsung C&T, and related firms. Money is flowing into these names, and the speaker holds and trades them as core positions alongside swing trading. This sector will continue to outperform driven by big tech and government investment.

The market is being led by AI data center-driven semiconductor demand, with structural growth rather than cyclical. Key beneficiaries include Samsung Electronics, SK Hynix, SK Square, Samsung Electro-Mechanics, Samsung C&T, and related firms. Money is flowing into these names, and the speaker holds and trades them as core positions alongside swing trading. This sector will continue to outperform driven by big tech and government investment.

The three major memory semiconductor companies (Samsung Electronics, SK Hynix, Micron Technology) are in a super cycle driven by AI data center demand, disciplined supply by the trio, and extremely low valuations (P/E 7-10x for memory vs Nvidia's 25-28x). The Q1 2026 earnings were the bottom, and operating profits will grow sharply through the rest of 2026 and into 2027. Their near-monopoly on DRAM, NAND, and HBM ensures pricing power. Market caps are undervalued relative to earnings, and upcoming IPOs (SpaceX, OpenAI) will further boost semiconductor demand. Therefore, these stocks have significant upside and are not in a bubble.