RAM and GPU Squeeze
Jay Rock@jamesro14830835
The idea
I believe the AI buildout keeps outrunning memory and GPU supply through 2027, so I lean into the chipmakers and packagers who can keep growing even after prices cool, with GPU and AI chips at 35% and foundry and packaging at 28%. Memory gets a smaller 22% slice through a dedicated memory ETF to capture the sharper swings in that group, plus a small slice in GPU cloud providers. I keep 8% in cash to add on dips, skip equipment makers, and plan to revisit the memory piece first in early 2027 since those stocks tend to turn before prices do.
What it owns
- These companies sell the AI chips that buyers are waiting in line for, so scarcity keeps their prices and margins high. · NVIDIA CorporationIt sells most of the GPUs AI data centers are fighting over, capturing pricing power as long as demand outpaces what it can manufacture., Advanced Micro Devices, Inc.It is the main second source for AI GPUs, picking up buyers who cannot get enough chips elsewhere while its supply runs short., Broadcom Inc.It designs custom AI chips and networking gear for cloud companies, a way around GPU shortages that still requires scarce manufacturing capacity., Marvell Technology, Inc.It builds custom AI chips and high-speed links that wire GPU clusters together, selling more as data centers race to add capacity.35%
- Every AI chip must be manufactured and packaged with its memory, and that packaging capacity is one of the tightest chokepoints in the supply chain. · Taiwan Semiconductor Manufacturing Company LimitedIt makes nearly every advanced AI chip and operates CoWoS packaging, the step that has been the tightest spot in GPU supply., Amkor Technology, Inc.It does advanced packaging for chips when TSMC alone cannot handle the volume, gaining as packaging becomes the supply bottleneck., ASE Technology Holding Co., Ltd.It is the largest outside company for chip packaging and testing, absorbing overflow from TSMC when AI packaging demand peaks.28%
- Memory makers profit directly from record prices as AI server demand outpaces production, with supply-constrained inventories keeping prices elevated. · Roundhill Memory ETFThis fund holds the major DRAM makers that profit from record memory prices while inventory levels remain critically low.22%
- Companies that rent out GPU capacity can charge more for as long as GPUs stay hard to get and customers need immediate access. · CoreWeave, Inc.It rents out GPUs to data center customers, so its rental prices and backlog reflect how tight GPU supply remains across the market., Nebius Group N.V.It is a GPU cloud provider that wins business when larger cloud platforms cannot supply enough capacity to meet customer demand.7%
- Cash8%