Citrini Analyst: Bearish on Storage in the Short Term, Bullish on Optical Module Trading

Citrini analyst Jukan stated on platform X that the market may adopt a trading strategy of "shorting storage and going long on optical modules" in the short term, with some hedge funds already starting to position themselves. The reasons include: First, the failure of the leveraged ETF market in South Korea has put redemption pressure on investors, which may lead to additional selling pressure, and the adjustment of the capital chain for leveraged products is putting pressure on South Korean storage stocks. Second, Nvidia's adjustment of the next-generation AI system architecture may reduce the HBM configuration of the Rubin Ultra single cabinet, connecting multiple cabinets through optical interconnect technology to maintain the leading performance of the Rubin Ultra cluster. Optical communication may become an important beneficiary direction for AI infrastructure. Third, market consensus suggests that storage prices may peak in the next two quarters. Despite a cautious short-term outlook, the long-term prospects for the storage industry remain positive, as investments in AI infrastructure are shifting from focusing on HBM storage capacity to data center architecture efficiency, including high-speed optical interconnects, which may drive funds to shift from storage chips to the optical communication sector in the short term.