Global memory suppliers lost $738bn in combined market capitalization following CXMT's 4F² architecture disclosure in October 2026, according to Goldman Sachs. The sell-off triggered share price declines between 11% and 26% across the sector, hitting SK Hynix down 25%, Samsung Electronics down 20%, CXMT down 15%, and Micron ($MU) alongside SanDisk ($SNDK) down 11%. Goldman Sachs considers this market reaction an overestimation of Chinese technology breakthrough potential. While equity valuations collapsed, physical market fundamentals diverged sharply, as benchmark DDR5 16Gb spot pricing continued trending upward from $54.50 past $60.00 throughout the exact same two-week sell-off period. The valuation contraction pushed Samsung Electronics to 0.9X P/B and SK Hynix to 0.9X P/B for 2028E, implying that public markets are pricing in an aggressive downcycle by 2028. Goldman Sachs views current risk-reward as highly attractive against its 'higher for longer' thesis, supported by projected 2026E/2027E ROE of 53%/54% for Samsung Electronics and 114%/68% for SK Hynix. The correction also penalized NAND producers such as SanDisk and Kioxia (down 26%) that have no technological exposure to DRAM cell architecture shifts. The primary near-term risk for equity recovery is a scarcity of immediate catalysts, alongside macroeconomic headwinds such as higher CPI prints and broader AI financing scrutiny. #Memory# #Samsung# #SKHynix# #SanDisk# #Semiconductors# Report date: 2026-10-16 · GS