Scorching runs for memory chip stocks like Micron and Sandisk have sent this new ETF soaring

Sizzling runs for representation spot stocks similar Micron (MU) and Sandisk (SNDK) person acceptable ablaze the Roundhill Memory ETF (DRAM), a caller ETF designed to nett much broadly from the favorable manufacture dynamics.

Inside the action: The first-ever pure-play representation spot ETF, the Roundhill Memory ETF began trading connected April 2. Its apical 5 holdings are large momentum stocks for 2026: SK Hynix (000660.KS), Micron, Samsung Electronics (005930.KS), Kioxia Holdings (KI5.SG), and Sandisk.

The ETF has lone gone up and to the close connected the charts.

The Roundhill Memory ETF is up astir 85% since its debut, topping a grounds $10 cardinal successful assets implicit 30 trading days, the Kobeissi Letter pointed out. The money is present the fastest-growing ETF successful history.

The money ranks among the apical 10 US ETFs by year-to-date inflows retired of much than 5,000 listed funds. It’s besides successful the apical 20 astir traded ETFs by volume, up from the 34th astir traded astatine the commencement of May, according to the Kobeissi Letter.

Memory spot backdrop astatine a glance: The AI superior expenditures roar sweeping the US has funneled down to Sandisk, Micron, and galore others successful the representation spot space. As hyperscalers specified arsenic Amazon (AMZN) physique AI information centers, request for representation chips has surged. These chips store and determination information for AI models, which necessitate ample volumes of accusation to execute astatine precocious levels.

Memory has go 1 of the tightest parts of the AI proviso chain, allowing the companies to hike prices to boost their profits.

“Demand continues to outpace our quality and the industry’s quality to proviso owed to persistent structural factors. And truthful we expect tightness for HBM, DRAM and NAND to proceed good beyond calendar twelvemonth 2026,” Micron operations main Manish Bhatia said astatine a JPMorgan league past week.

Bottom line: The tailwinds are intelligibly with representation spot stocks. But with that travel greater expectations and risks (see caller sell-off successful the abstraction owed to higher enslaved yields). Stay vigilant and diversified.

Brian Sozzi is Yahoo Finance's Executive Editor and a subordinate of Yahoo Finance's editorial enactment team. Follow Sozzi connected X @BrianSozzi, Instagram, and LinkedIn. Tips connected stories? Email [email protected].

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