Why is the 4DS Memory (ASX:4DS) share price halted?

All eyes will be on the company’s pending announcement this week.

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A dollar sign embedded in ice, indicating a share price freeze or trading halt

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The 4DS Memory Ltd (ASX: 4DS) share price isn’t going anywhere on Monday. This comes after the memory storage company requested a trading halt before market open.

As such, 4DS Memory shares remain frozen at 21.5 cents apiece. It’s worth noting that the company’s shares have gained almost 40% over the past month.

Why are 4DS Memory shares in a trading halt?

The 4DS Memory share price was placed in a trading halt this morning pending an important market announcement.

In the brief description provided, the company revealed it will release the results on both sets of its wafers. This relates to the Third Non-Platform wafers and the Second Platform Lot wafers.

The analysis data of the Third Non-Platform wafers and Second Platform Lot wafers will potentially allow 4DS Memory to fabricate the wafers into read and write selected bits and bytes. In turn, the end process will produce a fully functional megabit memory chip.

4DS Memory is developing the next generation of system memory chips by combining the best of both DRAM and NAND silicon storage.

The trading halt is expected to be lifted on Wednesday 18 August or by release of the company’s announcement – whichever comes earlier.

No doubt, investors will be keeping a close watch on 4DS Memory’s latest update. This will give a better understanding of where the company is at in terms of developing its megabit memory chips.

What does 4DS Memory do?

4DS Memory is a semiconductor company that develops resistive random-access memory (ReRAM). With research facilities in Silicon Valley, the start-up tech seeks to commercialise its product to become a replacement for more traditional Flash memory storage.

It is estimated that the total addressable market for the memory industry is around $40 billion.

About the 4DS Memory share price

Since this time last year, 4DS Memory shares have sharply risen by close to 380%. In 2021 alone, the company’s share price is up 70%, reflecting positive investor sentiment.

4DS Memory presides a market capitalisation of roughly $284 million, with approximately 1.3 billion shares on its books.

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Motley Fool contributor Aaron Teboneras owns shares of 4DSMEMORY FPO. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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