What's Going On With Micron Stock Tuesday? Chip Designer Plans New Factory By 2026
Portfolio Pulse from Anusuya Lahiri
Micron Technology (NASDAQ: MU) plans to build a new DRAM factory in Hiroshima by 2026, with operations starting by 2027. The company will invest 800 billion yen in the facility. Micron has increased its 2024 capital expenditure to $8 billion and expects significant growth in its HBM business by 2025. Analysts are optimistic about Micron's future due to strong DRAM pricing and increased AI exposure. Micron's stock has gained 81% in the last 12 months. Investors can also gain exposure through ETFs like AIFD and SHOC.
May 28, 2024 | 3:32 pm
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POSITIVE IMPACT
Engine No. 1 ETF Trust TCW Artificial Intelligence ETF (AIFD) provides exposure to Micron Technology, which is planning a new DRAM factory and expects significant growth in its HBM business.
AIFD's exposure to Micron Technology means it will likely benefit from Micron's positive news and expected growth in the DRAM and AI sectors.
CONFIDENCE 85
IMPORTANCE 70
RELEVANCE 50
POSITIVE IMPACT
Micron Technology plans to build a new DRAM factory in Hiroshima by 2026, with operations starting by 2027. The company will invest 800 billion yen in the facility. Analysts are optimistic about Micron's future due to strong DRAM pricing and increased AI exposure.
The announcement of a new factory and increased capital expenditure indicates strong future growth potential. Analysts' positive outlook on DRAM pricing and AI exposure further supports a positive short-term impact on Micron's stock price.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100
POSITIVE IMPACT
EA Series Trust Strive U.S. Semiconductor ETF (SHOC) provides exposure to Micron Technology, which is planning a new DRAM factory and expects significant growth in its HBM business.
SHOC's exposure to Micron Technology means it will likely benefit from Micron's positive news and expected growth in the DRAM and AI sectors.
CONFIDENCE 85
IMPORTANCE 70
RELEVANCE 50