Colin Cieszynski Micron Technology MU-Q WATCH Jun 20, 2024

The market and Micron are getting toppy. This can go down to $80, no problem. This is a trade, not investment.

He's done with memory stocks. The industry has only a few dominant players, and this name is one of them. Yet, there's still crazy cyclicality and it's hard to be differentiated.

It plays in memory and storage tech, and is really cyclical. He targets $142. It doesn't compete with TSMC, very agonistic, because they are a factory and don't design chips.

They just reported a strong quarter. But shares have run $60 to $126 and can't go higher. 

Up 10% the past month. It ran up huge into the quarter, but has since gone done. We've seen this pattern better.  Buy some tomorrow, then wait for a 10% interval to buy more.

Up 13% in the last 6 months. The stock is inexpensive, but the chart tells him to wait. It had a good run, and now the market says it looks bad.

It has two businesses. One is high-bandwidth memory which goes into data centres, and two is DRAM which is having poor pricing. You need DRAM pricing to rebound, though you can buy a few shares now.

Not a direct competitor to NVDA, but very strong in DRAM and NAND markets. Impressed by mid-quarter update which boosted earnings projections by 10-15% for the quarter. Cheaper than peers in the space, could be re-rated when the market wakes up to that. 

Another way to access and get excited about the AI buildout. Yield is 0.38%.

He has invested in it in the past. AI demand for memory is accelerating so it is well positioned. Can be considered an oligarchy and should continue to do well.

Likes the CEO, who is prudent and cautious, but the stock has run up 80% this year. Reports next week.