MU and WDC stand out as AI infrastructure plays, with strong revenue growth, expanding margins and upbeat outlooks, despite recent sector pressure.
The memory-chip giant is reversing its recent slide after increasing its investment in the U.S. semiconductor supply chain.
SK Hynix hopes a U.S. listing will close a valuation gap with peer Micron Technology. It has a compelling case.
Memory chip and storage stocks staged a strong recovery on Thursday, with investors rushing back into the sector after a sharp selloff triggered by Samsung Electronics' quarterly earnings earlier this week. Micron Technology climbed more than 7%, while SanDisk SNDK gained about 7.5%.
Micron Technology Inc (NASDAQ:MU) shares rose 7% on Thursday after the company announced plans to invest up to $3 billion to strengthen the U.S. semiconductor supply chain and support future manufacturing capacity.
Micron shares climbed after the memory chipmaker announced a new round of investments aimed at boosting the U.S. semiconductor supply chain. The new strategic investments include $500 million for Taiwanese-headquartered GlobalWafers to expand its wafer development and manufacturing in Texas.
This article was written by Doug Nathman, with research by his team at Trefis.
Micron Technology, Inc. delivered a record-breaking quarter, with revenue up 346% YoY and operating income surging 2,456%, driven by AI-fueled memory demand. MU's growth is powered by Strategic Customer Agreements: 16 take-or-pay contracts locking in floor margins above historical peaks and $100B+ in minimum revenue. Guidance calls for Q4 revenue of $50B and 86% gross margin, with tight memory supply expected through 2027 and a commitment to return 100% of excess cash to shareholders.
Micron Technology (NASDAQ:MU | MU Price Prediction) has been the wildest ride in the AI memory trade.
Memory and storage stocks are rebounding sharply Thursday morning, reversing a bruising start to the week.
Micron Technology shares surged 6% in premarket trading on Thursday after the memory-chip maker announced plans to invest up to $3 billion to strengthen the US semiconductor supply chain. The bullish analyst commentary and improving sentiment toward AI-related memory demand further supported the stock.
It's been the big question on the minds of tech investors in the past few weeks: have Micron (NASDAQ:MU | MU Price Prediction) and the broad basket of semiconductor stocks finally peaked out?