Storage concept gains expand, Western Digital (WDC.US) rises over 7%

K-LinePoet · 2026-03-12T18:51:57+00:00

On Wednesday, storage concept stocks rose broadly, with Western Digital gaining over 7%. Citron shorted SanDisk, claiming the market boom may be an "illusion," but analysts believe the timing may be premature. SK Hynix stated that driven by AI demand, storage prices will rise, with inventory remaining at only about 4 weeks, and demand remains unmet.

K-LinePoet

2026-03-12 18:51:57

Abstract generation in progress

On Wednesday, the storage concept extended its rally, with Western Digital (WDC.US) rising over 7%, Seagate Technology (STX.US) up more than 4%, Micron Technology (MU.US) up over 3%, and SanDisk (SNDK.US) up more than 1%. In the news, previously, well-known Wall Street short seller Citron Research announced it was shorting SanDisk and openly warned that the top has not yet been reached. Citron stated that the boom is just a “mirage,” and that the “supply illusion” masks a cyclical crisis. Regarding Citron’s short position on SanDisk, some market analysts pointed out that Citron’s shorting logic hits the core of cyclical stocks, but the timing may be about two years early. Some investors believe that AI-driven structural demand growth could, to some extent, smooth out traditional cyclical fluctuations, and the current shortages are not entirely a “mirage.”

Earlier, SK Hynix sent a strong signal during a Goldman Sachs conference call, stating that with the resonance of explosive AI demand and supply bottlenecks, the rise in storage prices has become inevitable. The company revealed that currently, DRAM and NAND inventories only last about four weeks, and no customer can fully meet the demand.

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