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What Is Going on With Micron Stock on Wednesday?
Benzinga • • business
Key Points:
- Nasdaq futures rose 0.29% and S&P 500 futures gained 0.20%, indicating positive market sentiment ahead of trading.
- Analyst Rolf Bulk highlighted that long-term AI supply agreements are stabilizing earnings for Micron and its memory-chip competitors by reducing reliance on cyclical market swings.
- High-bandwidth memory (HBM) margins are near peak levels of 75% to 80%, with expectations to slightly increase before stabilizing around 70%-75% due to sustained AI demand and tight supply.
- ChangXin Memory Technologies (CXMT) remains behind industry leaders like Micron and SK Hynix, facing challenges from older technology generations, higher costs, and limited access to advanced manufacturing tools.
- Micron's stock showed modest premarket gains of 0.28% at $82.80, with its significant weighting in ETFs potentially influencing automatic buying or selling activity.
