Raspberry Pi Shares Tumble: Sees Significant Uncertainty in DRAM Pricing and Availability

Raspberry Pi shares fell more than 7% to 268.4p on Tuesday, a new low for the stock, after the company warned of “significant uncertainty” around the pricing and availability of key memory components through 2026.

In a year-end trading update, Raspberry Pi said it expects adjusted EBITDA for 2025 to come in ahead of market expectations at no less than $45 million, more than 20% higher than 2024. Unit shipments reached 7.6 million for the year, including 4 million in the second half, while strong fourth-quarter economics helped lift profitability.

The company ended the year with $28 million in net cash, having repaid $22 million in extended supplier payables.

Despite robust demand from OEM customers and resellers heading into 2026, the company highlighted sharp increases in the cost of LPDDR4 DRAM, driven by memory manufacturers shifting capacity toward AI data center chips. Some suppliers have also signalled limitations in high-density supply.

Raspberry Pi said it is mitigating the impact by qualifying additional suppliers, developing lower-memory product variants and raising prices where necessary. It added that longstanding supply-chain relationships and inventory buffers have ensured sufficient LPDDR4 supply to meet expected demand in the first half of 2026.

About one-third of its product portfolio uses either no DRAM or older LPDDR2, insulating those lines from cost pressures.

However, the company cautioned that visibility beyond the first half remains limited. Second-half performance will depend on memory pricing trends, supply availability, the effectiveness of mitigation efforts and customer responses to further price adjustments.

“Despite a challenging memory supply environment, our supply chain discipline has enabled us to meet expanding customer demand,” said Eben Upton, CEO of Raspberry Pi .

“We enter 2026 benefiting from substantial inventory buffers, long-standing and growing industrial OEM relationships, which typically account for 70% of our demand, and a number of initiatives intended to optimise the performance of our business in the short and medium-term.”