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Micron Soars Amid AI Boom, Outpacing Nvidia's Growth
16 Nov
Summary
- Micron raises guidance, benefits from AI data center demand
- Micron stock trading 20% below all-time highs, 30% below price target
- Micron a leader in high-bandwidth memory critical for AI workloads
On August 11, 2025, Micron Technology, Inc. (MU), a prominent chipmaker and artificial intelligence stock, raised its guidance as it continues to capitalize on the AI hyperscaler-driven data center boom. Micron's improving earnings outlook has earned the company a Zacks Rank #1 (Strong Buy), and it is projected to post blockbuster earnings and revenue growth, rivaling industry leader Nvidia.
Despite Micron's strong performance, the stock has stalled out at its 52-week highs and the top of a critical range after an initial pop. However, investors can currently buy Micron's shares at a 20% discount to its all-time highs and a 30% discount to its average Zacks price target, making it an attractive investment opportunity as the company enters September.
Micron is a leader in DRAM and NAND memory and storage chips, which are critical components in everything from smartphones to AI data centers. The company's growth and innovations in this key segment of the semiconductor industry have helped its stock climb over 1,700% in the past 15 years, outpacing the Zacks Tech sector's 770% gain. Micron's CEO has stated that AI will drive record memory chip demand, further solidifying the company's position as a compelling long-term AI investment.
