Nikkei's report about a new NAND flash fab to be built by SanDisk (SNDK -1.1%) and Toshiba (TOSBF.PK) comes amidst growing analyst fears new capacity additions will lead the current NAND up cycle to peak, in spite of strong smartphone/tablet/SSD-related demand.
DRAMeXchange recently estimated NAND contract prices fell 6%-9% in 2H July. The firm says the market has been "more sluggish than expected" in Q3.
SanDisk is lower, but rival Micron (MU +3.7%) is rallying, possibly thanks to the SIA's June/Q2 sales data. The trade association estimates DRAM sales rose 22% Q/Q in Q2. Flash memory sales are believed to have risen 8.6%.