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AI trade? Micron’s in the splash zone
Micron is catching another bid Thursday as investors keep rotating into AI-linked semis. The simple version: if NVIDIA is the loud drumbeat of AI spending, Micron is one of the companies getting dragged onto the dance floor with it.
Why the stock’s popping
A few things are doing the heavy lifting here:
- Analysts have been lifting Micron price targets like they found a cheat code, with new bulls talking up $1,100 and $950 calls.
- Investors are betting AI data centers will keep guzzling high-performance memory.
- Supply still looks tight, which is exactly the kind of backdrop chip investors daydream about.
NVIDIA just poured gasoline on the story
NVIDIA’s latest results gave the whole AI trade a fresh jolt. Revenue blew past expectations, guidance came in hot, and the company even tossed in a bigger buyback plus a higher dividend for good measure. Translation: the money machine behind AI infrastructure still looks very much alive.
Micron benefits from that setup because AI servers need a lot more memory than your average laptop-and-coffee workflow. If hyperscalers keep spending, Micron’s DRAM and NAND business can stay in the center of the party instead of on the sidelines.
Big picture
This isn’t just a one-day pop off a headline. Micron is increasingly being priced like a major AI beneficiary, which is great when the theme is hot—and a little spicy if the mood shifts. But for now, Wall Street is still waving the same neon sign: AI memory demand looks sticky.