Shares of Raspberry Pi Holdings (RPI) surged 11.29% on Friday, closing at 749p and pushing the company's market capitalization to approximately £1.45 billion. The stock ended the week up roughly 6.5%, recovering sharply from midweek losses. London markets are closed until Tuesday for the Spring Bank Holiday, leaving investors to digest the move over the long weekend.
The rally outpaced the FTSE 250, which added 0.96% on Friday. Raspberry Pi was among the top gainers in the index for much of the session, with shares touching an intraday high of 759.5p according to AJ Bell data. That level also marks the stock's 52-week high.
Weekly Volatility and Market Context
The stock experienced a choppy week. After closing the prior Friday at 703p, shares fell to 643p by Tuesday and dipped further to 631p on Wednesday. A rebound began Thursday, with the stock climbing to 673p, before Friday's surge to 749p. The sharp recovery has placed Raspberry Pi near all-time highs as the market enters a shortened trading week.
No new regulatory filings were posted on Friday. The last company announcement was a director transaction notice dated May 11. The investor relations website still features a May 22 interview with founder and CEO Dr. Eben Upton by Peel Hunt, titled "Raspberry Pi and AI." The AI angle has been a recurring theme for the stock, though the company has noted that no new information beyond what is already public has driven recent moves.
Earnings and DRAM Cost Pressures
Raspberry Pi reported strong 2025 results in March, with revenue of $323.2 million, up 25% year-over-year, and adjusted EBITDA of $46.4 million, also up 25%. Profit before tax rose 63% to $26.5 million. Unit shipments reached 7.6 million, up from 7.0 million, and semiconductor device volumes surpassed board and module sales for the first time.
However, memory costs remain a major headwind. The company expects the current DRAM supply situation to persist into next year, creating uncertainty for the second-half outlook. CEO Upton told Reuters in March that Raspberry Pi has passed on higher memory costs to channel partners and indicated further increases may be necessary. "It's probably not done," he said, referring to price hikes.
Outlook and Key Risks
With shares near record levels, the primary risk for the coming week centers on DRAM pricing. If costs stabilize or supply conditions tighten, or if buyers resist further price increases, Friday's gains could reverse. Clearing the 759.5p level could reinforce the AI and industrial demand narrative, but a drop below 749p might suggest the rally was a short-term squeeze rather than the start of a sustained uptrend.
Investors will have their first opportunity to trade on Tuesday. The long weekend adds an element of uncertainty, as any macro or sector news over the break could influence sentiment. For now, Raspberry Pi's stock remains in focus, driven by its AI potential, strong earnings, and the ongoing challenge of memory costs.
