Micron's Explosive Earnings Report, Semiconductor Prosperity Picks Up Benefits Domestic Equipment, Semiconductor Equipment ETF (561980) Five-Day Net Subscriptions Hit 180 Million!

On the morning of March 19, due to the escalation of Middle East tensions and soaring oil prices, global inflation uncertainties have increased. The Federal Reserve kept interest rates unchanged and signaled a “higher for longer” rate policy, which suppressed global risk appetite. Multiple negative factors combined, putting pressure on the A-shares market, with the three major indices opening lower collectively.

As of press time, the Semiconductor Equipment ETF (561980) fluctuated at low levels, down over 2%. Among its components, Huahai Chengke rose over 2%, China Shipbuilding Special Gas increased over 1%, while Linkage Technology, Yak Technology, Shen Gong Shares, and others led declines.

From a capital flow perspective, the product saw a net inflow of 180 million yuan over the past five trading days and a net inflow of 290 million yuan over the past ten trading days. Analysts suggest that funds are channeling into core semiconductor industries via ETFs, which may be the result of a resonance among three long-term logical factors: the domestic substitution of semiconductors, industry cycle recovery, and the short-term flow back of the A-share technology sector.

On the news front, the latest developments from two major overseas storage giants continue to ferment. Global storage leader Micron Technology delivered explosive earnings, with revenue in the second quarter of fiscal 2026 nearly doubling year-over-year to $23.9 billion. Key indicators such as gross margin and earnings per share set single-quarter records, while significantly raising guidance for the third quarter, with revenue and profit expectations far exceeding market consensus.

Micron expects that this fiscal year’s expenditure will exceed $25 billion, and additional investments of over $10 billion in wafer fab construction are planned for fiscal 2027. Even though Wednesday after-hours stock fluctuations caused by spending scale, this further confirms the industry trend of accelerated global AI storage capacity expansion.

Another major storage giant, Samsung Electronics, also made headlines. A joint organization composed of multiple unions within Samsung Electronics approved a strike vote with a 93.1% approval rate, planning to launch an 18-day nationwide strike in late May. This is the largest strike threat Samsung has faced in history. As a core part of the global semiconductor supply chain, a shutdown of Samsung’s capacity could intensify the global AI chip supply-demand tension, pushing downstream wafer factories to accelerate domestic substitution, speeding up the validation and deployment of domestic semiconductor equipment, and further releasing the dividends of domestic substitution.

Additionally, the Chief Marketing Officer of SEMI, the international semiconductor industry association, stated yesterday that global semiconductor revenue is expected to reach $775 billion in 2025 (note: at current exchange rates, about 53.4 trillion RMB), and this year it may surpass $1 trillion ahead of previous forecasts, earlier than the end of this decade. The AI boom has injected strong and sustained growth momentum into the semiconductor industry.

【Strong demand catalyzes supply gap filling】

Huaxin Securities pointed out that the demand for AI computing power continues to explode. As the core carrier of computing power, storage chips are experiencing a dual resonance of price increases and capacity expansion, with upstream semiconductor equipment orders showing particularly high elasticity. Galaxy Securities also stated that supply chain security is forcing faster self-control and independence, with semiconductor equipment being a core track for domestic substitution, and long-term prosperity is expected to further improve.

Data shows that the Semiconductor Equipment ETF (561980), tracking the CSI Semiconductor Index, is heavily weighted with top holdings including SMIC, North Huachuang, SMIC International, Hygon Information, Cambrian, and other leading companies in semiconductor equipment, materials, and integrated circuit design and manufacturing, all focusing 100% on the core chip industry chain; the top ten holdings account for over 74%, with more than 60% in “semiconductor equipment.”

Risk warning: Funds are risky; investments should be cautious.