SanDisk, Micron, Digital Turbine and HPE surge more than 100% YTD but still trade below the tech sector's forward P/E average.
Stephanie Link, Chief Investment Strategist at Hightower, appeared on CNBC's Morning Call Sheet with a contrarian call.
Memory and storage stocks are selling off sharply Monday morning as a weak second-quarter profit estimate for South Korea's SK Hynix rattled the AI memory trade.
MU's recent pullback follows record highs, but strong AI memory demand, upbeat guidance and estimate revisions highlight why the dip may attract investors.
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Micron stock was following SK Hynix dowards as investors looked to be nervy about the prospects for continued gains for memory companies.
These companies have seen revenue soar amid data center demand for memory. Memory chips are greatly needed in the agentic AI era, which may be just beginning to unfold.
There are incredible bargains available among AI stocks right now.
Micron traded at a 52-week high of $1,255 on June 25. The stock price has dipped below $1,000 for a variety of reasons which could include profit-taking and a recent sell-off in chip stocks.
These are excellent semiconductor companies, but only one can be the better investment in this comparison.
Artificial intelligence has already stretched the semiconductor supply chain to its limits.
The memory chip shortage will likely last into 2028. The market expects huge growth from Micron over the next year.
The pullback in the DRAM - Roundhill Memory ETF could be a buying opportunity.
Micron Technology (NASDAQ: MU) has received another bullish endorsement from Wall Street, with TD Cowen reiterating its ‘Buy' rating and maintaining a $1,600 price target on the memory-chip giant.
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