Retail Investors’ Verdict: Micron Technology (MU) is Better Than Space (SPCX)

Number of Hedge Fund Investors: 154

Redditors are dismissing abstraction stocks arsenic today's hype cycle. What's really happening close present is an AI revolution, and each large tech institution is successful dire request of representation chips. That's wherever Micron comes in. Micron Technology (NASDAQ:MU) is experiencing unprecedented request for DRAM, NAND, and HBM representation arsenic hyperscalers contention to physique retired AI information centers. But here's the problem: Micron tin lone fulfill 50 to 66 percent of existent request successful the mean term. Management expects proviso and request to enactment choky beyond 2026.

To buffer against cyclical downturns, Micron has signed multi-year Strategic Customer Agreements with large unreality providers. They're five-year agreements with take-or-pay provisions, meaning Micron Technology (NASDAQ:MU) gets paid careless of whether customers really instrumentality the product. The institution is benefiting from monolithic terms increases crossed the board. In Q2 2026, DRAM prices jumped 58 to 63 percent 4th implicit quarter. NAND Flash prices roseate 70 to 75 percent. Enterprise SSD prices climbed 80 percent successful a azygous quarter. These are not one-time spikes. TrendForce expects prices to enactment elevated done Q4 2026 and beyond.

Burke Wealth Management stated the pursuing regarding Micron Technology, Inc. (NASDAQ:MU) successful its Q1 2026 capitalist letter:

"In an different dismal 4th for maturation equities, shares of ASML and Micron Technology, Inc. (NASDAQ:MU) delivered beardown returns gaining +24% and +18% respectively during the archetypal quarter. Both of these companies are indispensable players successful delivering the compute powerfulness indispensable to thrust the AI revolution. Had the marketplace displayed immoderate benignant of rational behaviour during the archetypal quarter, Nvidia would person joined this database of gainers aft announcing the strongest results successful the past of results and providing the strongest guidance successful the past of guidance successful precocious February, but near-term marketplace absurdities prevented this result for the clip being. The cardinal operator for some ASML and Micron is simply a seemingly insatiable request for much compute power. Saying the satellite is compute constrained without proving it doesn't get you acold these days. We unrecorded successful a satellite wherever galore analysts are focused connected calling retired a highest successful CAPEX spending and making the assertion that the spending to day connected AI has created a bubble that volition instrumentality years to digest. This whitethorn inactive beryllium the case, but if it is, executives from Amazon, Alphabet, Microsoft, and Meta are going to person a batch of explaining to bash due to the fact that collectively, these 4 companies committed to walk implicit $600 cardinal connected AI related CAPEX this year. .." (Click present to work the afloat text) (Click Here to Read the Letter successful Detail).