JPM Memory Market Update: The order visibility is extending as we progress through the year, but we believe the market is anticipating AI funding risk and power bottleneck driven memory downcycle as early as in 1H27E. This puts memory in a tricky spot as investors debate between “too-cheap to ignore” vs. “it is cheap for a reason.” We believe EPS cuts are unlikely to happen in the next 6M as the memory S-D gap is too wide to narrow over a short period of time and memory earnings will have a buffer protected by LTAs and prepayments. On a medium-term basis, we continue to view risk-reward as attractive and remain OW across all our coverage companies and rank our next three months order of preference based on shareholder return policy upside: SKH (OW) > SEC (OW) > Kioxia (OW).