Source item

Okay I know this is US time and this is a Taiwan stock... But I really am starting to think $ESMT (3006) can cook like $SNDK. And I’m excited. So hopefully in a few months, people can something say similar... FUN FACT CHAT: Did you know.. 1 old DDR2 memory chip is.. ~$0.96? (from LCSC data) Obviously different per spec since some can be $2.5... But if you 3x ASP Hike this. That's a whole... ~$2 added to final BOM cost. So about the same cost as a $COST hot dog. It goes into things like a D-Link security camera, maybe like $33 final cost... and adds like $2. (which people won't mind) But... 3X ASP hike to ESMT? Is very, very material. That's just for one product category, and there's many others from SLC NAND (eg. +120–170% H2) to NOR Flash products for H2 ASP hike projections. And my favorite thing is, they've already shown they're willing to partake in the price hike games (seems like there's a long way to go)… Currently they make ~$111M net income a month from July earnings ($2.8B MC), which annualized is like ~2.1X P/E. *I have positions. So... I think $ESMT has room to cook like masterchef Sandisk. TLDR: - Repeated rounds of price hiking = seems absurd for the company's net income... but has potential due to starting low component cost. - Reminds me of early $SNDK but for other segments (legacy/niche memory).