JPMorgan Calls for Overweighting Storage
Samsung Electronics and SK Hynix have fallen 6% over the past month and 15% over the past three months, while the Philadelphia Semiconductor Index is up 10% over the past month. JPMorgan characterizes this selloff as a season of resetting expectations, with earnings season kicking off on October 19 to put that thesis to the test.
Memory spot prices and AI orders haven’t continued to weaken, so this kind of drop is mostly an emotional overshoot—expect an initial rebound. On-chain DePIN storage is moving in step with the AI narrative, so FIL and AR may recover along with semiconductor sentiment in the short term. Sector rotation is only on the cards if BTC holds steady and avoids a breakdown. The real turning point will be the capital expenditure guidance in the earnings reports on the 19th. If prices can’t reclaim the previous high-volume trading range, this will be just a rebound; a second leg will only come after a retest and confirmation.
Before the earnings reports come out, at this price level for FIL, would you reduce your position to avoid volatility, or bet on memory spot prices stabilizing and add to your position?
$FIL $AR $BTC
Samsung Electronics and SK Hynix have fallen 6% over the past month and 15% over the past three months, while the Philadelphia Semiconductor Index is up 10% over the past month. JPMorgan characterizes this selloff as a season of resetting expectations, with earnings season kicking off on October 19 to put that thesis to the test.
Memory spot prices and AI orders haven’t continued to weaken, so this kind of drop is mostly an emotional overshoot—expect an initial rebound. On-chain DePIN storage is moving in step with the AI narrative, so FIL and AR may recover along with semiconductor sentiment in the short term. Sector rotation is only on the cards if BTC holds steady and avoids a breakdown. The real turning point will be the capital expenditure guidance in the earnings reports on the 19th. If prices can’t reclaim the previous high-volume trading range, this will be just a rebound; a second leg will only come after a retest and confirmation.
Before the earnings reports come out, at this price level for FIL, would you reduce your position to avoid volatility, or bet on memory spot prices stabilizing and add to your position?
$FIL $AR $BTC