Taiwan chip designer Elite Semiconductor (3006) jumped to its daily price limit as tight supply pushes niche memory prices higher — good news for holders and for memory chip makers generally.

• The stock locked at limit-up Monday morning, with heavy unfilled buy orders still queued.
• All three major institutional investor groups — foreign funds, local funds, and dealers — bought the stock last Friday, led by foreign buying.
• The driver is a shortage of specialty DRAM, the niche memory chips Elite designs, which has pushed prices up sharply.
• Elite expects third-quarter memory prices to hold at high levels or edge up further after the big second-quarter jump.
• Because it ships mostly bare chips sold on contracts, its selling prices lag the spot market — so high prices should keep feeding through.

Outlook: Selling prices look set to stay elevated into the second half, keeping momentum behind the stock as long as the memory shortage lasts.