Micron Stock Forecast: Why Micron Is Still A Worthy Investment
The article was written by Motek Moyen Research Seeking Alpha’s #1 Writer on Long Ideas and #2 in Technology – Senior Analyst at I Know First.
Summary:
- With stronger factory production available, average selling prices of DRAM and NAND flash is down this year.
- On the other hand, the increasing default RAM and flash storage of new smartphones and computers is still a strong tailwind for Micron.
- More RAM and flash storage are needed because smartphones now can play PC-level video games. Smartphones are now also decent HD video camcorders.
- The higher margins possible on 8GB/12GB RAM modules helps offset the lower spot prices of RAM.
- Micron is an industry leader in DRAM and NAND storage products. Sadly, it is still being undervalued compared to its semiconductor industry peers.