Here's Why Piper Sandler Considers DRAM Pricing "Slightly Negative" For Micron And Others

Piper Sandler analysts Weston Twigg and Harsh Kumar jointly noted that inSpectrum released its January monthly memory contract pricing data, which indicated DRAM 8Gb DDR4 fell 8% month-over-month and that NAND 256Gb TLC dropped 1% on a month-over-month basis.
The analysts, who monitor the three-month rolling average year-over-year change to better gauge trends, said DRAM products' pricing continued to decelerate, while NAND products' pricing showed a "slight" deceleration.
Twigg, who covers semiconductor equipment names, said the implications of the memory contract pricing trends were "slightly negative" for Lam Research Corp LRCX, Applied Materials Inc AMAT, KLA Corp KLAC, ASML Holding NV ASML, and Teradyne Inc TER.
Kumar also called the implications "slightly negative" for Micron Technology Inc MU.
Price Action: MU shares traded higher by 2.26% at $81.06 on the last check Monday.

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