Nvidia’s Wednesday fiscal second-quarter readout represents this week’s biggest event, with the results likely to have significant implications not only for its own shares but also for the broader AI trade. As the dominant supplier of AI accelerators, Nvidia’s results and outlook are closely watched as a gauge of whether the enormous spending on AI infrastructure remains on track.

A strong report and upbeat guide could reinforce investor confidence in the sector, while any signs of slowing demand, weaker growth, or more cautious spending from hyperscalers could weigh on a much broader group of AI-related stocks.

Top investor Adam Spatacco, who contributes to The Motley Fool, believes that one name that could be significantly affected by the results is memory stalwart Micron (NASDAQ:MU). While the stock has retreated recently, Nvidia’s readout could be the “catalyst that triggers a rebound.”

Why is that, then?

Spatacco argues that Micron occupies a particularly advantageous position within the AI semiconductor ecosystem because Nvidia’s GPUs depend on high-bandwidth memory (HBM). Micron is one of just three companies approved to supply Nvidia with these advanced memory products, alongside South Korea’s SK Hynix and Samsung. As a result, stronger demand for Nvidia’s accelerators directly translates into greater demand for the memory required to power them.

With much of the industry’s HBM capacity already committed through multiyear agreements, stronger-than-expected Nvidia demand could put even more pressure on an already constrained memory market. That could give Micron and its peers greater pricing power, driving up contract prices for both HBM and conventional DRAM. In Spatacco’s view, continued growth in Nvidia’s data center business could therefore provide a meaningful catalyst for Micron’s revenue, profitability, and margins.

Meanwhile, MU stock’s parabolic run has been curtailed recently due to a combination of factors such as profit-taking and fears over memory cyclicality and Chinese competition.

Spatacco believes the pullback could leave the stock well positioned for another move higher if a meaningful catalyst emerges.

An upside surprise from Nvidia, particularly alongside strong forward guidance, could provide that catalyst. Such a result would offer additional evidence that the AI infrastructure spending cycle remains robust while highlighting the importance of memory as a critical component of the semiconductor supply chain. At the same time, Spatacco points out that Micron’s HBM and DRAM production is already fully committed, while new capacity is “still coming online.” This could shift the market narrative from concerns that Micron is already priced for perfection toward the possibility that demand is still running ahead of supply.

Against this backdrop, Spatacco sees an opportunity for memory stocks to attract fresh capital. “The combination of end-market strength from Nvidia and cloud hyperscalers, constrained supply across the industry, and a stock that has already absorbed considerable profit-taking creates a compelling setup for renewed upside once Nvidia’s fiscal Q2 numbers hit the tape,” the 5-star investor summed up. (To watch Spatacco’s track record, click here)

The Wall Street view is also very bullish. Based on a mix of 30 Buys vs. 1 Hold, the stock claims a Strong Buy consensus rating. Going by the $1,556.55 average price target, shares will be changing hands for a 68% premium a year from now. (See Micron stock forecast)