$Micron Tech(MU.US)

Micron’s price action looks pretty similar to Sandisk. Not surprising as both are critical suppliers in the same supply chain serving the same bottle necks. Both provide memory components complementary to each other which are very high in demand yet short of supply.

No matter what the bears are saying (most of whom are following a certain famous ‘one hit wonder’ investor and his theses including the ‘5 year GPU lifespan’. Interestingly his name sounds like ‘bear’ also. 😂) and no disrespect meant. I mean the theses does have some grounds. However, this is what the best investors do. They pivot where necessary and are not married to the theses. No one is right all the time.

Where there were doubts whether the AI buildout will yield ROI, those doubts have been quelled with earnings showing that AI is making money. Now its about closing the gap between the buildout and profits. That’s what the markets need to see before the next big leg up.

The next phase is inference. And let’s focus there first before discussing future phases like agentic buildouts, autonomous AI which includes self driven cars and robots etc. When we talk about inference, that alone needs loads of memory. We haven’t even gone to the next phase.

And when you see the big boys lining up to fund the industry, that is very telling. AI is now too big to fail. And they always say ‘Do not fight the tape’. Be on the right side.

Now again, even price needs a breather at times. We just had one. Now it looks like high beta wants to get going again.

Back to memory. Like Sandisk, MU looks like going for its ATH. I know some will laugh at me. As they do when I was bearish at the top. (Look at my time stamped posts!) There will be a time when I will be wary. Now it’s time to make hay while the sun shines.

*Not financial advice. Just my honest opinion.

@Captain's Treasure