Guotai Asset Management says semiconductor, telecom pullback leaves long-term AI-driven uptrend intact
SMH•AI compute demand remains resilient
AI compute demand was seen as resilient; Meta targets a 2027 doubling in AI capacity, and Nvidia expects quarterly revenue above USD 100 billion.
Korea Investment cuts SK Hynix forecasts
Korea Investment & Securities cut SK Hynix 2Q26 operating profit to KRW 60.4 trillion, about 7%-8% below consensus.
It also lowered 2026 and 2027 operating profit forecasts by about 9% and 11%, citing limited HBM pricing upside and contract effects.
Memory supply-demand gap expected to widen
Guotai expects the memory supply-demand gap to widen, with supply growth near 30% versus demand above 40%, supporting high prices through 2028.
Guotai sees short-term volatility but intact AI uptrend
Guotai Asset Management flagged short-term volatility in communications and semiconductors, citing weaker sentiment and tighter liquidity.
It said the long-term AI-driven uptrend remains intact despite the recent pullback.
