QM · rank #12 · 2026-07-27
SIMO
NASDAQ · $9.43B (USD)
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +310.30% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +20.3% |
| Profit margin Net profit margin, trailing 12 months. | +16.0% |
| Market cap (USD) Size filter: > $500M required. | $9.43B |
| Anchor (recent) Close on 2026-06-26 | $305.28 |
| Anchor (far) Close on 2025-06-27 | $74.40 |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
Silicon Motion (SIMO) designs NAND flash controllers for SSD and embedded storage, with recent record Q1 2026 results and strong Q2 guidance driven by enterprise SSD and client-storage ramps.
Rationale
The signal fits a quality-momentum setup because SIMO combines strong 12-1 price momentum with high ROE, solid margins, and mid-cap scale, while the latest results show accelerating revenue and profitability rather than a slowing business.
Material risks
- 1Major OEM customers could increasingly build controller capability in-house, which would directly erode SIMO’s share and weaken the third-party controller model.
- 2Discrete NAND controller solutions face commoditization/displacement risk if integrated SoCs or competing in-house architectures take share in SSD and embedded storage.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 1 of 3 voted to proceed.