--- title: "Memory stocks rebound, analysts point out a good buying opportunity on dips" type: "News" locale: "en" url: "https://longbridge.com/en/news/291801287.md" description: "Memory stocks rebounded before the market, with analysts pointing out a good buying opportunity on dips. UBS raised its price forecast for DDR, maintaining the view that DRAM will remain in short supply until 2028; Citigroup raised its price estimate for Micron due to strong AI demand; Bank of America reiterated its \"buy\" rating on Micron, believing that the valuation is low and the pullback is a healthy correction. Multiple reports are optimistic about the sustained demand driven by AI and the industry's recovery" datetime: "2026-07-06T12:07:56.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/291801287.md) - [en](https://longbridge.com/en/news/291801287.md) - [zh-HK](https://longbridge.com/zh-HK/news/291801287.md) --- # Memory stocks rebound, analysts point out a good buying opportunity on dips Investing.com — Memory and storage stocks rose broadly in pre-market trading on Monday, with Micron up 2.2%, SanDisk up 3.6%, Western Digital up 3.4%, and Seagate up 1.8%. Multiple bullish analysis reports indicate that related stocks have room for price increases, and the demand driven by artificial intelligence is sustainable. UBS analyst Nicolas Gaudois raised its DDR contract price benchmark forecast, expecting a 32% increase in the third quarter of 2026 compared to the previous quarter, higher than the previous estimate of 17%; the fourth quarter is expected to rise by 18%, up from the previous 12%. Gaudois stated that he maintains the forecast that the DRAM industry will remain in short supply "at least until the second quarter of 2028," and pointed out that the gap between a 36.2% growth in bit demand and a 19.3% growth in supply in 2027 "will be difficult to bridge before then." UBS predicts that revenue in the memory industry will reach $992 billion in 2026, further climbing to $1.76 trillion in 2027, and characterizes the 17% average decline in memory stocks from the June peak as "likely just a temporary phenomenon." Meanwhile, Citi has added a 90-day upward catalyst watch for Micron and raised its average selling price growth estimates for the second, third, and fourth quarters of 2026 to quarter-on-quarter increases of 44%, 20%, and 13%, respectively, citing stronger-than-expected demand for AI CPUs. Bank of America analyst Vivek Arya reiterated a "buy" rating on Micron, maintaining a target price of $1,550, and noted that "memory currently accounts for about 35% to 40% of cloud AI capital expenditures, which is 2 to 3 times historical levels, but the forward P/E ratio of memory stocks is less than 10 times, indicating that valuations are clearly undervalued." Alibaba anticipates that global capital expenditure on cloud and AI infrastructure will approach USD 1.5 trillion by 2027, and characterizes the current pullback in the semiconductor sector as a "healthy correction, rather than a structural shift in AI demand." _This article was translated with the assistance of artificial intelligence. 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