HK Stock Market Move | Price hikes drive the strength of the storage concept, pushing Montage Technology (06809) and GigaDevice Semiconductor Inc. (03986) to hit new highs.

The concept of storage continues to strengthen, with Montage Technology (06809) and GigaDevice Semiconductor Inc. (03986) both hitting new highs. As of the time of this report, Montage Technology rose by 17.08%, to 216.6 Hong Kong dollars; GigaDevice Semiconductor Inc. rose by 12.05%, to 414.6 Hong Kong dollars. On the news front, the trend of rising prices for storage chips is becoming more intense, with the price increases spreading to the capital markets. According to the latest news, Japanese storage giant Kaisai is expected to implement revised pricing policies for North American customers starting from the first quarter of 2026, with the average selling price (ASP) expected to increase by about 50% on a quarter-on-quarter basis. Morgan Stanley estimates that Kaisai's adjusted gross profit margin in the first quarter will reach 66%. Some analysts point out that Kaisai's price increase has sent a positive signal to the entire NAND industry, and the profitability of the storage chip industry will significantly improve. In addition, the recent "February Memory Price Tracking Report" released by Counterpoint shows that as of the first quarter of 2026, memory prices have risen by 80%-90% on a quarter-on-quarter basis, with the main driver of this increase being the sharp rise in prices of general server DRAM. For example, the contract price for 64GB RDIMM server-level memory has surged from $450 in the fourth quarter of last year to over $900 in the first quarter, with the possibility of surpassing the $1000 mark in the second quarter.