(2344) Winbond's stock price is strongly locked at the daily limit! After a surge of 9.87%, it is poised to challenge the 69.1 yuan level

Under the strong expectation of rising memory prices, the Taiwan stock market is booming, with the index successfully surpassing 28,000 points. Winbond Electronics Corporation (2344) saw its stock price strongly hit the daily limit today, closing at NT$67.9, with an increase of 9.87%, leading both trading volume and value in the Taiwan stock market. This limit-up not only marks the third consecutive trading day of price increases for Winbond, with a cumulative increase of 20.37%, but also boosted the entire memory sector, including Macronix and Nanya Technology, becoming the focus of the market. Winbond's stock price opens high and hits the limit-up, strongly challenging the previous high of NT$69.1 Today, Winbond opened high and continued to rise, showing strong buying momentum during the session, with trading volume surpassing 200,000 lots by 10 AM. It ultimately reached the limit-up price of NT$67.9, gearing up to challenge the historical peak of NT$69.1 since 2025. From a technical analysis perspective, Winbond's stock price today touched the upper Bollinger Band and firmly stood above all short-term moving averages, forming a clear bullish arrangement, indicating strong short-term momentum. Additionally, the capital momentum driving this round of price increase is also robust, with institutional buying actively entering the market for several consecutive days, particularly from foreign investors, reflecting a high recognition of its future prospects by institutional investors. Winbond's November revenue hits a three-year high! AI demand ignites structural memory shortages, making the company a direct beneficiary According to the operational data released by Winbond, its consolidated revenue for November 2025 surged to NT$8.629 billion, growing nearly 5% compared to the previous month and significantly increasing by 38.7% year-on-year, marking the best record in over three years. The total revenue for the first 11 months of this year has reached NT$79.635 billion, with a year-on-year growth rate of 5.85%. This strong growth is primarily attributed to the rapid expansion of demand for artificial intelligence applications. As major international memory manufacturers significantly shift their production capacity to high-margin high-bandwidth memory (HBM), the supply of traditional DRAM and Flash memory has been significantly squeezed, leading to a severe supply-demand imbalance in the market. Winbond, having proactively increased capital expenditures and received active orders from customers, has become a direct beneficiary of this trend. According to the latest data, the average inventory weeks of major DRAM suppliers have been drastically reduced from 13 to 17 weeks at the end of last year to only 2 to 4 weeks in October this year, indicating that the overall industry inventory has been depleted to very low levels. At the same time, the DDR4 memory market has experienced a fundamental supply-demand reversal since the third quarter. Global leading manufacturers, in response to market trends, have prioritized allocating production capacity to the new generation of DDR5 and high-bandwidth memory (HBM), which, combined with synchronous capacity adjustments from peers in mainland China, has led to a sharp decline in the market supply of DDR4. On the supply side, while there is a significant contraction, the demand side remains strong. Many mainstream storage devices, including enterprise-grade solid-state drives (eSSD), still require DDR4 memory in their designs, resulting in actual market demand for DDR4 far exceeding expectations Winbond Electronics is favored by foreign investors, anticipating a continued rise in memory prices until 2026 Several foreign institutions have recently released research reports expressing strong optimism about the future of the memory industry, believing that the momentum for price increases is expected to continue until 2026, and clearly advising investors that "now is not the time to rush to take profits." The reports particularly emphasize that the supply shortage of 16Gb specifications in DDR4 memory is the most severe, with spot market prices having surged to about $100 per unit, which represents a significant gap compared to the industry reference price of about $45.5. Moreover, the reports also predict that the supply gap for NOR Flash memory will continue to widen until 2026, estimating that its price may see an increase of over 20% as early as the first quarter of next year. Based on a firm view of the industry's upward cycle, foreign institutions have reaffirmed their positive outlook on the traditional memory sector, with Winbond Electronics listed as a priority investment target. From the perspective of specific price trends, industry analysis shows that the contract price of DDR4 has risen dramatically from just over NT$1 at the beginning of this year to an astonishing increase of 5 to 6 times by the fourth quarter. The market has even witnessed a rare "price inversion" where the spot price of DDR4 exceeded that of DDR5. Looking ahead to 2026, in an environment where supply and demand remain tight, it is expected that DRAM contract prices will continue to rise, although the pace of increase may slow down, with estimated prices for DDR5 and DDR4 being around NT$17 and NT$12 per unit, respectively, indicating that this strong cycle could last at least until 2026. Three major institutional investors simultaneously increase their positions, supporting Winbond Electronics' stock price with capacity expansion and institutional buying To capitalize on this strong market demand, Winbond Electronics is initiating a dual-axis capacity expansion plan. On one hand, the Taichung plant will continue to enhance the output of NOR Flash, NAND Flash, and mature process DRAM; on the other hand, the monthly DRAM production capacity of the new Kaohsiung plant is planned to significantly increase from the current 15,000 wafers to 24,000 to 25,000 wafers, with expectations to officially mass-produce more advanced 16nm process products in the first quarter of 2026. Additionally, the company anticipates that its key CUBE (wafer-level stacking) technology platform will begin to contribute significantly to revenue starting in 2027. Market research institutions predict that the global supply gap for DDR4 memory will expand to over 10% by 2026. The key to the future market lies in the speed at which downstream brands, industrial computers, and automotive electronics customers transition to DDR5, as well as the changes in the price difference between DDR4 and DDR5. Driven by the simultaneous growth in diverse application demands such as artificial intelligence, industrial control, automotive, and network communications, market institutions generally expect that Winbond Electronics is likely to enter the most significant profit growth phase during the memory industry's upward cycle in 2026. From a funding perspective, institutional attitudes are also actively bullish. According to last week's statistics, foreign investors, investment trusts, and proprietary traders have all simultaneously increased their positions in Winbond Electronics, with a total net purchase exceeding 50,000 shares, among which foreign buying was the most aggressive, with a net purchase exceeding 42,000 shares in a single week With multiple favorable factors such as improved industry fundamentals, bullish product pricing, and a trend towards concentrated holdings, the market holds high expectations for the future operational growth of the entire memory sector. Analysts further pointed out that Taiwanese memory manufacturers, due to their incomplete capabilities in cutting-edge high bandwidth memory (HBM) and related 3D stacking (TSV) packaging technologies, are currently benefiting mainly from the "spillover effect" driven by price increases in DDR4 and DDR5 standard memory. For example, the inventory turnover days of memory manufacturers such as Winbond and Macronix have significantly decreased from the previous normal level of about 185 days to around 140 days, indicating a substantial improvement in their revenue and profitability. Overall, Taiwanese memory stocks are still regarded as typical cyclical stocks in this wave of market activity, and their future stock price performance will closely follow the pricing trends in the memory market and changes in actual end-user demand