We like to think the heart of AI is the GPU, a processor of extreme speed. But here's something the industry knows well — the GPU got so good that memory can't keep up. Chips got 80× faster at computing over 10 years, but the speed of feeding them data grew only 17×. The result: a processing core worth hundreds of thousands of dollars often sits "idle," waiting for data. This is the memory wall, and the hero that tears it down is HBM — high-speed memory that stacks DRAM into a tower and slaps it right next to the GPU. This lesson looks at why this part is "sold out years in advance," and why the whole world depends on just three makers.
Samsung's record quarter confirms the boom is industry-wide, not just Micron Samsung posted a record quarterly operating profit of about $80 billion, nearly nine times last year, with revenue up 127%. Its chip unit drove the gain on soaring AI memory prices. This shows the shortage is lifting all major memory makers, not just Micron, broadening the theme's profit base.
Samsung's blowout confirms the memory upcycle is industry-wide, a core new fact for the theme.
BofA doubles down: memory market to $2 trillion by 2030, a long supercycle Bank of America raised its 2030 memory market forecast to $2 trillion from $1.8 trillion, saying AI demand and high prices put the industry in a long growth cycle. It sees DRAM and NAND sales growing about 21% a year from 2027. This extends the runway well beyond the current shortage.
A major analyst raising the long-term market size directly answers what is driving the theme.
New demand drivers emerge: self-driving cars, robots, and cloud growth Micron's CEO flagged self-driving cars and humanoid robots as big future memory users, with each vehicle needing over 200 gigabytes. Goldman expects cloud revenue growth to accelerate to 55%. AMD's Lisa Su said AI demand stays very high for years. These add fresh long-term demand beyond today's data centers.
New end-markets and accelerating cloud demand are new forces extending the theme's growth.
Supply stays tight but new capacity and legal costs are real counterweights AMD says memory remains supply-constrained and plans a 2027 capacity boost, while Micron will spend $200 billion on expansion. Micron also agreed to pay Netlist $600 million for a patent license. New capacity could eventually ease pricing, and rising costs are a mild drag even as tightness persists.
It gives the honest counterweight: tight supply now, but capacity additions and costs could pressure the theme later.
Micron Technology Taoyuan Workers Vote to Authorize Strike Over Bonus Dispute
Workers at Micron Technology's Taoyuan facility in Taiwan have voted to authorize a strike after bonus negotiations failed. The authorization covers staff at a key memory manufacturing plant that supports Micron's global supply chain for memory and storage products, with labor representatives framing the dispute around year-end compensation and bonus terms tied to recent corporate performance metrics. The vote puts a critical production hub at higher operational risk just as Micron runs very high capex and leans on tight DRAM and NAND supply as a profit driver, while rivals Samsung and SK Hynix contest AI memory share. Micron designs and manufactures memory and storage products across the United States, Taiwan, Japan, Mainland China, Hong Kong and Europe, so any disruption in Taiwan affects a production network serving data centers, consumer devices and AI hardware customers worldwide. Analysts have already flagged high capital intensity and cyclicality as major risks, and the dispute adds a people and supply-chain layer to that same concern.
MU · Supply · Negative Taoyuan workers authorize a strike at a key memory plant, raising operational risk to Micron's DRAM/NAND production and supply chain.
Jacob Funds Adds Rambus Stake on Data Center Memory Shift
Jacob Funds disclosed a new position in Rambus Inc. in its third-quarter 2026 investor letter, citing the memory chip maker's exposure to data center infrastructure trends. The Jacob Internet Fund added Rambus as its sole new holding in the quarter, with the firm arguing the market underestimates the rollout of next-generation MRDIMM server memory, which doubles data transfer speeds without costly server redesigns. Jacob Funds said the shift toward memory pooling should lift the dollar value of Rambus components inside every AI server, driving higher average selling prices and wider margins in its product revenue category. Rambus closed at $108.47 on October 08, 2026, with an $11.76 billion market capitalization, an 18.04% year-to-date gain, a 52-week range of $77.89 to $174.10, and $756.33 million in trailing twelve-month revenue. Fifty hedge fund portfolios held the stock at the end of the second quarter, up from 35 in the previous quarter.
RMBS · Demand · Positive Jacob Funds added Rambus as its sole new holding, citing underestimated MRDIMM server memory rollout and memory pooling that should lift the dollar value of Rambus components in every AI server.
Samsung Posts Record $80.2 Billion Quarter as TSMC Revenue Jumps 50%
Samsung Electronics reported the most profitable quarter ever by any company at $80.2 billion, while Taiwan Semiconductor Manufacturing Company posted record third-quarter revenue of $46.7 billion, up 50% year over year. Samsung, the world's largest memory manufacturer, counts Qualcomm, Alphabet, Tesla, Advanced Micro Devices and Amazon among its main customers. TSMC, the world's largest manufacturer of AI chips, produces over 60% of all global contract chips and over 90% of advanced chips, with NVIDIA, AMD, Qualcomm, Intel, Apple and Broadcom among its customers. Earlier this week, SpaceX announced it will raise $40 billion in debt to buy NVIDIA chips as it scales its AI compute, with a payback period well under one year thanks to deals with Google and Anthropic. The results and the SpaceX debt raise suggest record capital expenditure on AI infrastructure will continue.
Bank of America Starts Penguin Solutions at Buy With $100 Price Target
Bank of America initiated coverage of Penguin Solutions with a Buy rating and a $100 price target, sending shares up 3.8% in premarket trading on Friday. Analyst Wamsi Mohan wrote that Penguin sells memory and full-stack AI infrastructure to business, government and neocloud customers, and called the company a key beneficiary in the age of agentic AI. AI-driven businesses already comprise 78% of sales and grew 141% year over year last quarter, Mohan noted. He sees upside to his above-Street estimates, projecting fiscal 2028 revenue of $2.87bn and EPS of $5.43 versus the Street's $2.66bn and $5.04, driven by a sustained memory cycle through 2028, growing traction from agentic AI demand, improving margins and Penguin's ability to lower the time to first token in inference applications. Mohan added that Penguin's CXL products and MemoryAI KV cache servers address rising memory constraints directly, and that a Tier-1 financial institution has already expanded its usage.
Samsung Electronics released preliminary third-quarter 2026 earnings guidance on October 8, projecting consolidated operating profit of approximately 107.4 trillion Korean won, up about 782.5% year on year, with consolidated sales of roughly 195 trillion Korean won, up about 126.6%. Earlier, Micron Technology reported fourth-quarter fiscal 2026 revenue of 54.23 billion US dollars, up about 379% year on year, and guided next-quarter revenue to approximately 61.5 billion dollars. Guolian Minsheng Securities stressed that the memory industry is entering a supercycle, with AI server demand continuing to drive upgrades in HBM, DRAM, and enterprise SSD configurations, while supply-side constraints on advanced process capacity and long-term agreement lock-in mechanisms make the upward price trend clear. Leading manufacturers such as Micron have already locked in more than 35% of revenue through 2030 via long-term agreements and plan to boost shareholder returns. As a result, as of 14:11 on October 9, 2026, the STAR 50 ETF Ping An, ticker 589150, saw its underlying index, the SSE STAR 50 Index, ticker 000688, rise 0.23%, with constituents Amlogic up 5.84%, Transsion Holdings up 5.42%, Times Electric up 4.35%, Skyverse up 4.23%, and SJ Semiconductor up 4.05%.
Artificial Intelligence › HBM & AI Memory ▲Pricing
005930.KO · Capital · Positive Samsung guided Q3 2026 operating profit to ~107.4 trillion won, up ~782.5% YoY, on sales of ~195 trillion won.
MU · Demand · Positive Micron reported Q4 FY2026 revenue up ~379% YoY and guided next quarter to ~$61.5B, driven by AI server demand for HBM/DRAM/enterprise SSD.
Jim Cramer Says Micron Buyback Could Reach 10% Over Time
CNBC's Jim Cramer said on Friday that Micron Technology could eventually buy back as much as 10% of its shares, calling the potential repurchase larger than any other buyback ever, including NVIDIA's. Cramer, who discussed the impact of Toshiba's announcement on memory companies, said Micron faces very low indirect impact and argued the company is no longer cyclical but a secular growth company. Melius Research analyst Ben Reitzes has set a $2,200 share price target on Micron, which trades at a forward P/E of 7, citing long-term agreements that add demand visibility. Micron's latest quarter saw revenue grow 379% and gross margins rise 41 percentage points to 87%, with non-GAAP diluted earnings per share of $33.42 versus $3 a year earlier; its DRAM business, 73% of total revenue, grew 343% annually while NAND grew 526% to $14.10 billion. The company said its HBM4 capacity was completely sold out for 2026, secured $32 billion in supply commitments in fiscal Q4, and saw its backlog jump to $150 billion from $100 billion, while allocating $200 billion in capital expenditure to expand capacity.
MU · Capital · Positive Cramer says Micron's buyback could reach 10% of shares and Melius sets a $2,200 price target, with record revenue/margins and $150B backlog.
MU · Demand · Positive HBM4 capacity sold out for 2026, $32B in supply commitments, and long-term agreements adding demand visibility.
Lynx Sees AI Semiconductor Rally Running Into Year-End, Led by Nvidia, Micron and Sandisk
Lynx Equity Strategies analyst KC Rajkumar expects the AI semiconductor rally to extend into year-end, with Nvidia, Micron Technology and Sandisk among the names leading the move. The Philadelphia Semiconductor Index pulled back modestly Wednesday after four consecutive sessions of gains, but Rajkumar said the broader rally that began after the Federal Reserve's Sept. 15 meeting remains intact, with AI semiconductor stocks bought in waves as the sector shrugs off higher bond yields. Micron was the latest beneficiary, rising roughly 4% Wednesday despite a weaker broader market, after breaking out of its trading range in early September. On memory pricing, Samsung reported preliminary third-quarter operating profit up roughly ninefold year over year and Micron's August-quarter operating profit rose about 11%, while Micron management said supply-demand conditions in fiscal 2027 and 2028 should be significantly tighter than in fiscal 2026. Taiwan Semiconductor Manufacturing reported third-quarter revenue growth of 51% year over year, above the high end of its guidance, which Rajkumar said could push TSMC's 2026 revenue growth from its guidance of slightly above 40% to at least the mid-40% range. Rajkumar added that AI semiconductors are emerging from a period of investor skepticism and are no longer the crowded trade they were several months ago, pointing to growing popularity of AI agents from Meta, OpenAI and Anthropic and stronger-than-expected AI-driven services at Accenture as signs demand is broadening.
MU · Demand · Positive Micron rose ~4% and management said fiscal 2027-2028 memory supply-demand conditions should be significantly tighter than fiscal 2026, with August-quarter operating profit up ~11%.
2330.TW · Demand · Positive TSMC reported Q3 revenue growth of 51% y/y above the high end of guidance, which Lynx said could lift 2026 revenue growth to at least the mid-40% range.
NVDA · Demand · Positive Lynx named Nvidia among the leaders of the AI semiconductor rally expected to extend into year-end as AI demand broadens.
SNDK · Demand · Positive Sandisk was named by Lynx as one of the names leading the AI semiconductor rally into year-end.
Samsung Q3 profit surges nearly ninefold as TSMC revenue grows 51%, but shares remain under pressure
Samsung Electronics reported third-quarter operating profit up nearly ninefold to 107.4 trillion won, or about 80.1 billion dollars, a record high, while revenue more than doubled. The figures still fell slightly short of the analyst average estimate. Taiwan Semiconductor Manufacturing Co., or TSMC, reported record third-quarter revenue of 1.49 trillion Taiwan dollars, or about 46.71 billion dollars, up 50% from a year earlier and above market expectations. LSEG SmartEstimate, which compiles estimates from 19 analysts, had forecast revenue of 1.46 trillion Taiwan dollars, compared with 989.92 billion Taiwan dollars a year earlier. Despite the record results, Samsung shares fell 2.4% in the South Korean stock market, and shares of suppliers in the Japanese market such as Tokyo Electron, Advantest and Ibiden also declined, amid concerns over how long AI investment reliant on rising debt financing can continue as global borrowing costs climb. Demand for high-bandwidth memory chips, or HBM, used with Nvidia Corp.'s AI accelerator chips has benefited Samsung, SK Hynix and Micron Technology. Counterpoint Research raised its forecast for third-quarter DRAM chip prices to a 10% to 20% rise from the previous quarter, up from 5% to 10%, after customers rushed orders. Analysts at Citigroup expect HBM4 chip prices to rise 100% to 150% next year, even though Citigroup cut its full-year profit estimates because of the stronger South Korean won. Analysts expect Samsung's chip business to post operating profit of 110 trillion won, with the company due to release full financial results on October 29.
005930.KO · Capital · Neutral Record Q3 operating profit up nearly ninefold but slightly below analyst estimates, with shares falling 2.4%.
2330.TW · Demand · Positive TSMC reported record Q3 revenue up 50% year-over-year, above market expectations.
000660.KO · Demand · Positive HBM demand tied to Nvidia AI chips benefits SK Hynix, with DRAM prices rising and HBM4 prices expected to climb 100-150%.
MU · Demand · Positive HBM demand tied to Nvidia AI chips benefits Micron, and DRAM prices are forecast to rise 10-20% on rushed orders.
NVDA · Demand · Positive Demand for HBM used with Nvidia's AI accelerator chips is cited as benefiting memory makers, implying continued AI-driven demand for Nvidia's chips.
Cramer Says Micron's Boom-and-Bust Cycle Is Over After Blowout Quarter
Jim Cramer said Micron Technology's latest results and long-term customer agreements show the company is becoming less dependent on its historic boom-and-bust cycle. On the October 1 episode of Mad Money, Cramer pointed to Micron's fiscal fourth-quarter revenue of $54.23 billion, up from $11.32 billion a year earlier, and non-GAAP earnings per share of $33.42 versus $3.03, with non-GAAP gross margin climbing to 87% from 45.7%. The company guided for fiscal first-quarter revenue of $61.5 billion, plus or minus $1.5 billion, and non-GAAP EPS of $38.15, plus or minus $1.00. Micron has expanded its Strategic Customer Agreements, which management said cover more than 35% of estimated revenue through 2030, extend into 2031, and carry $32 billion in customer financial commitments. Cramer said the stock still trades at about six times next year's earnings estimates even as the company becomes less cyclical, though he flagged that new industry capacity could pressure memory pricing and margins, with management expecting roughly 86.25% gross margin in fiscal first-quarter 2027 and about $25 billion of capital expenditures in the first half of fiscal 2027.
AMD CEO Lisa Su Says AI Demand to Stay 'Very, Very High' for Years, Plans 2027 Supply Boost
Advanced Micro Devices CEO Lisa Su said demand for AI and computing capacity will remain elevated for years, requiring the chipmaker to substantially increase supply again in 2027 after already expanding capacity through 2026. Speaking during a one-day visit to Taiwan on Tuesday, Su said AMD needs more advanced wafer capacity and plans to increase its more than $10 billion Taiwan supply-chain investment announced in May, adding that demand for CPUs is even higher than supply. She said memory remains supply-constrained, including the high-bandwidth memory used in AI servers, and that AMD also needs more advanced packaging capacity. Su met Foxconn Chairman Young Liu and executives from Acer, Asus and Quanta before heading to Hsinchu to meet with TSMC executives and other suppliers, and said AMD now coordinates capacity planning three to five years out instead of one or two. Su also said AMD began shipping its Helios AI systems in the third quarter and continues to see strong demand for more compute as production ramps.
AMD · Demand · Positive CEO Lisa Su said AI and CPU demand will stay very high for years, with CPU demand exceeding supply, prompting AMD to boost wafer, packaging and memory capacity and expand its Taiwan supply-chain investment.
Netlist Signs $600 Million Micron Licensing Deal, Resolving All Litigation
Netlist, Inc. announced in October 2026 that it has entered into patent license and settlement agreements with Micron Technology, Inc., resolving all pending legal proceedings and granting Micron a five-year license to Netlist's server DIMM and High Bandwidth Memory patent portfolio. Under the deal, Micron will make quarterly payments of US$30,000,000 from Q4 2026 through Q3 2031, totaling US$600,000,000. The agreement locks in a multi-year, high-visibility revenue stream that highlights the commercial value of Netlist's memory-related intellectual property alongside its existing alliance with Samsung. Recent share price strength suggests the market is already pricing in some of this, but also leaves less room for error if future product demand or new licensing deals disappoint. Key near-term catalysts now center on how effectively Netlist executes on growth with these partners, while key risks tilt toward concentration in a few counterparties and the possibility that one-off items keep clouding true earnings quality.
Artificial Intelligence › HBM & AI Memory Technology
MU · Capital · Negative Micron must pay $30M quarterly for five years ($600M total) to license Netlist's server DIMM and HBM patents, a direct cash outflow and settlement cost.
DA Davidson Lifts Micron Target to Street-High $3,000
DA Davidson analyst Gil Lauria raised his Micron price target from $2,100 to a street-high $3,000, a call that sent Micron and SanDisk shares up roughly 4% each even as the broader market fell. Lauria said investor meetings with Micron investor relations executives Samir Patodia and Jeff Grattan left him convinced investors are early in understanding Micron's value and will eventually assign it a far higher multiple. The upgrade lands as memory supply constraints are expected to persist through 2027 at a minimum, and Wall Street analysts expect Micron earnings to explode by 699% next quarter. Micron trades at a P/E of just 13.85x, and over the past two years the stock has gained 953% while SanDisk has returned 3,398.70%. Skeptics argue AI memory is a cyclical commodity rather than a durable growth force, but both stocks have been consolidating in base structures since the early summer despite a blowout Micron earnings report, fresh all-time highs in the Nasdaq 100 Index ETF, and a massive guidance raise from Marvell Technologies.
Nvidia and Micron Expected to Drive Over a Third of S&P 500 Q3 Earnings Growth
Nvidia and Micron are expected to account for more than one-third of S&P 500 earnings per share growth for the third quarter, according to a ZeroHedge analysis of earnings estimates compiled by Goldman Sachs and FactSet. The two semiconductor giants are projected to generate more earnings growth than the bottom 490 S&P 500 companies combined, and AI infrastructure companies overall are expected to drive more than half of the index's third-quarter EPS growth. Yorkville Ives partner Dan Ives wrote that AI infrastructure spending by the five largest cloud platforms is running on the order of $850 billion this year, a figure that rivals U.S. defense outlays, and he listed Nvidia among his top tech picks. The S&P 500 is expected to report year-over-year earnings growth of 29.5% for the recently completed third quarter, which would mark the third consecutive quarter above 25% and the eighth straight quarter of double-digit percentage growth, according to FactSet. For the fourth quarter, Wall Street analysts are calling for earnings growth of 27.6%, and for all of 2026 they predict year-over-year earnings growth of 32.4%.
AMD CEO Lisa Su Says Company Still Exploring Samsung Partnership
AMD CEO Lisa Su said the company continues to explore partnership opportunities with Samsung Electronics in memory chips and contract manufacturing, according to media reports. Su said she met with executives at SK Hynix and planned to meet Samsung executives, and that AMD was working with customers to use memory more efficiently as it seeks to meet growing computing demand. She also urged memory suppliers to increase production as quickly as possible. "I think we very much rely on the Korean supply chain," Su said, adding that Samsung and SK Hynix are "key for us to accomplish our broad ambition in data centres." Su said demand for data centers remains strong, with AMD seeing demand across its product portfolio.
Artificial Intelligence › AI Compute & Accelerator Silicon Supply
AMD · Supply · Positive AMD is exploring partnerships with Samsung and SK Hynix and urging memory suppliers to boost production to meet its growing data-center demand.
000660.KO · Supply · Positive AMD CEO met SK Hynix executives and called the Korean memory supply chain key to its data-center ambitions, signaling demand for SK Hynix's memory.
005930.KO · Supply · Positive AMD is exploring a partnership with Samsung in memory chips and contract manufacturing and plans to meet its executives.
Netlist Shares Jump 17.9% on Micron Patent Settlement Worth $600 Million
Netlist, Inc. shares soared 17.9% to close at $6.66 after the company disclosed a settlement with Micron that resolves all pending legal proceedings between the two firms. Under the deal, Micron receives a five-year license to Netlist's patent portfolio, including server DIMMs and High Bandwidth Memory technologies, and will pay Netlist $30 million every quarter from the fourth quarter of 2026 through the third quarter of 2031, totaling $600 million over the five-year term. Micron also agreed to purchase 10 million Netlist common shares for an aggregate of $1 million, subject to a lock-up and phased release schedule over five years. The Micron agreement follows Netlist's August announcement of a five-year strategic alliance with Samsung covering patent cross-licensing, DRAM and NAND supply, and settlement of all pending litigation, under which Samsung will also buy 10 million Netlist shares. Netlist is expected to post quarterly earnings of $0.60 per share, a year-over-year change of +3100%, on revenues of $308.6 million, up 630.8% from the year-ago quarter, while its consensus EPS estimate has remained unchanged over the last 30 days and the stock carries a Zacks Rank #3 (Hold).
Micron Reaches Netlist Patent Settlement as Taiwan Workers Back Strike Vote
Micron Technology has reached a major patent settlement with Netlist that includes a multi-year license for key memory technologies, resolving longstanding litigation between the two companies over intellectual property used in Micron's memory products. Separately, workers at Micron's critical Taiwan facility have backed a strike action that could affect production during strong AI-related demand. The Netlist settlement supports Micron's advanced DRAM and high bandwidth memory roadmap from an IP standpoint, while the Taiwan labor threat could turn tight supply into an operational risk if output for AI data center clients is interrupted. The clearest proof point will be Micron's next detailed operational update, especially whether management keeps its fiscal 2027 capex and first quarter 2027 revenue guidance of about US$61.5b intact while outlining how Taiwan production plans and labor relations are being stabilised.
MU · Regulation · Positive Micron reached a patent settlement with Netlist including a multi-year license, resolving longstanding IP litigation over its memory products.
MU · Supply · Negative Workers at Micron's critical Taiwan facility backed a strike that could interrupt production during strong AI-related demand.
BofA Puts Memory in an Uptrend Cycle, Raises 2030 TAM to 2 Trillion Dollars
Bank of America estimates that the total addressable market of the global memory industry, or TAM, will rise to 2 trillion US dollars in 2030, up from its previous estimate of 1.8 trillion dollars, viewing the industry as entering a long-term growth cycle driven by demand for artificial intelligence memory and high average selling prices. Global DRAM and NAND sales combined previously peaked at about 170 billion US dollars in 2018 amid the cloud boom, before a recovery in 2025 generated sales of roughly 210 billion US dollars, even as the NAND market weakened. Meanwhile, the annual run rate of the memory market in the third quarter of 2026 has already exceeded 1 trillion US dollars, with revenue in that quarter at about 278 billion dollars, which annualizes to roughly 1.1 trillion dollars. Bank of America also expects DRAM and NAND sales to grow at a compound annual rate, or CAGR, of about 21% over the four years starting in 2027, with sales rising from roughly 900 billion US dollars in 2026 to 1.4 trillion dollars in 2027 and continuing to grow through 2030, reflecting a long-term supercycle. Under assumptions of 2 trillion dollars in sales, a 50% operating margin, a 25% tax rate and a price-to-earnings ratio of 13 times, Bank of America estimates that the fair market value of the memory industry could reach 10 trillion US dollars. For Thai investors, this theme relates to depositary receipts, or DRs, referencing Micron Technology shares that trade on the Thai stock market, such as MICRON01, MICRON19, MICRON03 and MICRON80, since Micron is a maker of memory products and data storage systems that stands to benefit from rising long-term demand for DRAM, NAND and AI memory.
MU · Demand · Positive BofA sees memory TAM rising to $2T by 2030 on AI memory demand, and Micron is named as a memory maker standing to benefit from rising DRAM/NAND/AI memory demand.
BAC · Capital · Neutral BofA is the author of the bullish memory TAM/valuation research, but the news is about the memory industry, not BofA's own business.
Penguin Solutions Guides FY2027 Net Sales to About $2.43 Billion, EPS to About $4.45
Penguin Solutions said it expects fiscal 2027 net sales of approximately $2.43 billion at the midpoint, roughly 40% growth plus or minus 10 percentage points, with diluted earnings per share of approximately $4.45 plus or minus $0.70. The outlook, raised from a preliminary view of about 30% growth given last quarter, was supported by record backlog, bookings growth, continued integrated memory strength and accelerating demand for its AI infrastructure business, Interim CFO Aaron Johnson said on the company's Q4 fiscal 2026 earnings call. For the fourth quarter, net sales were $567 million, up 68% year over year, and EPS was $1, up 133%, with gross margin of 28.8% and operating margin of 15.8%. Integrated Memory posted record quarterly net sales of $341 million, up 158% year over year and 24% sequentially, while Advanced Computing net sales were $154 million; for the full year, net sales were $1.73 billion, up 26%, and diluted EPS rose 51% to $2.87. CEO Kash Shaikh said the company added 6 new AI infrastructure customers in the quarter, including 4 neoclouds, and was selected to deploy and operate a 36,000 GPU AI factory in Norway, and he noted that Stephen Cumming has joined as Chief Financial Officer. The company completed a significantly oversubscribed $750 million 0% convertible note offering due in 2031 and ended the quarter with cash and cash equivalents of $647 million.
PENG · Capital · Positive Guides FY2027 net sales to ~$2.43B (~40% growth) and EPS ~$4.45, with Q4 sales up 68% and EPS up 133%.
PENG · Demand · Positive Record backlog, bookings growth, and 6 new AI infrastructure customers including a 36,000 GPU AI factory deployment in Norway.
Applied Materials Expands AI Chip Memory and Packaging Partnerships at EPIC Center
Applied Materials announced expanded collaborations at its new US$5.00 billion EPIC Center, bringing in KIOXIA to advance next-generation memory and extending its longstanding partnership with BE Semiconductor Industries to co-develop advanced packaging and interconnect technologies for AI-focused chips. The twin push into cutting-edge memory and packaging research and development highlights Applied Materials' ambition to sit at the center of AI-era chip design and manufacturing innovation. The company said the new EPIC Center collaborations with KIOXIA and Besi look more like medium-term positioning than near-term revenue drivers, but they subtly shift the catalyst mix toward advanced packaging and 3D memory integration as critical proof points. The stock's valuation, a BIS settlement reminder on export controls, and concentration in a cyclical industry remain the key risks that could pressure sentiment if conditions change. Ten Simply Wall St Community fair value views span roughly US$279 to US$845 per share, showing how far apart individual estimates can be.
Artificial Intelligence › HBM & AI Memory Technology
Artificial Intelligence › AI Compute & Accelerator Silicon Technology
AMAT · Technology · Positive Applied Materials expanded EPIC Center R&D collaborations with KIOXIA on next-gen memory and with Besi on advanced packaging/interconnect for AI chips.
285A.JP · Technology · Positive KIOXIA joins Applied Materials' EPIC Center to advance next-generation memory technology.
BESI.AS · Technology · Positive Besi extends its longstanding partnership with Applied Materials to co-develop advanced packaging and interconnect technologies for AI-focused chips.
Goldman Sachs warns Samsung faces triple-hit volatility on October 8
Goldman Sachs analyst Heather Oh warned clients that a rare convergence of three simultaneous market events on Thursday, October 8 will expose Samsung Electronics to an unusual burst of near-term volatility. The three events are Samsung's third-quarter preliminary earnings report, potential mechanical selling from semiconductor ETF rebalancing, and options expiry combined with the roll-off of the company's buyback program. Goldman estimates Samsung's third-quarter operating profit at W106 trillion, in line with street consensus of W105.5 trillion but a 5% cut from its prior estimate of W112 trillion, a revision the bank attributed primarily to Korean won strength, with the average USD/KRW rate tracking around 1,418 versus its prior assumption of 1,460. Seven semiconductor ETFs with combined assets under management of roughly W19 trillion, approximately $14 billion, are scheduled to rebalance on October 8, and local media and the street expect Samsung to face outflows due to a weighting cap in those vehicles while SK Hynix and semiconductor equipment makers absorb the offsetting inflows. Samsung's W15 trillion repurchase program was expected to be completed this week, eliminating a reliable source of daily buying support, and foreign investors were net sellers of Samsung for five consecutive days ahead of October 8, totaling net outflows of approximately $2.6 billion. Goldman maintained a constructive view on the operating fundamentals, saying it believes W100tn+ operating profit is backed by solid DRAM and NAND fundamentals with HBM growth the standout, and it expects Samsung's HBM bit shipments to grow close to 50% quarter-on-quarter in the third quarter, driven by the ramp of HBM4 shipments, while conventional DRAM bit growth is described as largely flattish given the limited level of inventory.
Semiconductors › Memory — DRAM, NAND & HBM Capital
Artificial Intelligence › HBM & AI Memory ▲Capital
005930.KO · Capital · Negative Goldman warns of triple-hit volatility on Oct 8: earnings estimate cut 5% on won strength, ETF rebalancing outflows, and buyback roll-off removing buying support.
000660.KO · Capital · Positive Expected to absorb offsetting inflows from the seven semiconductor ETF rebalancing as Samsung faces outflows due to weighting caps.
Micron's AI Memory Boom May Outlast Expectations as Supply Stays Tight
Micron Technology's earnings surge could prove more durable than past memory cycles as AI-driven demand keeps HBM and DRAM supply tight into 2027 and beyond. Micron's GAAP net income jumped to $37.7 billion in fiscal Q4 2026 from $3.2 billion a year earlier, while fiscal 2026 net income surged to $85 billion from $8.5 billion in fiscal 2025, and revenue rose to $133.2 billion from $37.4 billion. At the October 1 closing price of 1,097.39, Micron's market cap was around $1.24 trillion, about 14.5x fiscal 2026 earnings, though annualizing the latest quarter's profit brings the multiple to roughly 8.2x. Micron expects fiscal Q1 revenue of about $61.5 billion and non-GAAP EPS of roughly $38.15, and sees the memory industry remaining tightly supplied through 2028, with DRAM bit shipments growing in the low-20% range in both 2027 and 2028. Samsung expects HBM to consume nearly 30% of global DRAM wafer capacity in 2027 versus about 20% currently, and TrendForce reported DRAM industry revenue rose 59.5% sequentially to $154.73 billion in the second quarter. Micron has signed 26 strategic customer agreements covering more than 35% of expected revenue through 2030, with three-quarters of that revenue under a defined pricing framework, while hedge funds holding the stock rose to 184 in Q2 from 154 in Q1 and short interest fell to 2.5% of the float from 2.6%.
Goldman expects hyperscaler cloud growth to accelerate to 55% in Q3
Goldman Sachs strategist Ben Snider says the AI stock rally hinges on hyperscalers like Oracle and Amazon delivering another quarter of accelerating cloud computing adoption this earnings season. In a new note, Snider said Goldman's equity analysts expect year over year cloud revenue growth to increase from 48% in Q2 to 55% in Q3, after last quarter's accelerating cloud revenue growth and large revenue backlogs signaled monetization of capex investments. Micron offered an early validating sign last week, beating sales and profit forecasts for the quarter on voracious AI-driven demand, with guidance also strong; the memory chipmaker added about $43 billion in sales in the most recent quarter compared to the year-ago quarter, and operating margins exploded in all business segments. Executives told analysts on the earnings call that high chip prices and tight capacity would be the name of the game through 2028. D.A. Davidson analyst Gil Luria said expectations for tightening supply-demand conditions through both 2027 and 2028 meaningfully extend the industry's runway for strong pricing and earnings growth, addressing a key investor concern that current fundamentals represent a cyclical peak.
Artificial Intelligence › AI Compute & Accelerator Silicon ▲Demand
Artificial Intelligence › HBM & AI Memory ▲Demand
MU · Demand · Positive Micron beat sales and profit forecasts on voracious AI-driven demand, adding ~$43B in sales YoY with strong guidance and tight capacity through 2028.
AMZN · Demand · Positive Goldman expects hyperscaler cloud revenue growth to accelerate to 55% in Q3, with Amazon named as a key hyperscaler whose cloud adoption must deliver.
ORCL · Demand · Positive Oracle is named as a hyperscaler whose accelerating cloud computing adoption is central to Goldman's expected 55% Q3 cloud revenue growth.
GS · · Neutral Goldman Sachs strategist authored the note on hyperscaler cloud growth; no company-specific financial impact on Goldman itself.
Musk Says Tesla Halved Optimus Memory to Scale Production as Micron Sees 200GB Robots
Tesla CEO Elon Musk said Thursday that Tesla cut the memory specifications on its next-generation Optimus robot chips to scale production, after Micron Technology CEO Sanjay Mehrotra said humanoid robots could require hundreds of gigabytes of memory and storage each. In a post on X, Musk said Tesla cut the AI5 chip's memory in half to 72GB and the AI6 chip's memory by a third to 144GB, calling it the only way to get enough volume for Optimus production and saying it greatly reduces cost. He added that the cuts should have a negligible effect on Optimus performance, as memory bandwidth is a bigger limiting factor than total memory capacity. On Micron's fiscal fourth-quarter earnings call on Wednesday, Mehrotra said humanoid robots are expected to need more than 200 gigabytes of memory and multiple terabytes of storage per unit, similar to autonomous vehicles, and that physical AI could become a significant driver of memory and storage demand by the end of the decade. Tesla has reportedly placed its first large-scale component order for roughly 5,000 Optimus units and is auditing Chinese suppliers ahead of production, with the company aiming to eventually build 1 million Optimus units a year.
Artificial Intelligence › AI Compute & Accelerator Silicon Supply
Artificial Intelligence › HBM & AI Memory Supply
TSLA · Supply · Neutral Tesla halved Optimus AI5/AI6 chip memory to 72GB/144GB to scale production and cut cost, a supply/capacity-driven spec change with mixed implications.
MU · Demand · Positive Micron CEO said humanoid robots could need 200GB+ memory and multiple TB storage each, a significant future driver of memory/storage demand.
Micron Posts 87% Gross Margin as Customer Deposits Surge to $12.9 Billion
Micron reported fiscal Q4 revenue of $54.23 billion, up from $11.32 billion a year earlier, with non-GAAP earnings of $33.42 a share and non-GAAP gross margin of 87.0% versus 45.7% a year earlier. The company's Core Data Center unit generated $18.00 billion of revenue at a 90% gross margin, compared with $1.58 billion a year ago, and Micron is the only U.S.-based maker of high-bandwidth memory, working with Nvidia on the first custom HBM design. Micron has signed Strategic Customer Agreements, and noncurrent customer contract liabilities rose to $12.9 billion from $568 million a quarter earlier, while customer deposits brought in $12.75 billion during fiscal 2026. Fiscal 2026 operating cash flow was $89.68 billion and adjusted free cash flow was $62.31 billion, with fiscal Q1 2027 guidance calling for $61.5 billion of revenue plus or minus $1.5 billion and $38.15 of non-GAAP EPS plus or minus $1. Micron spent $27.37 billion net on capital projects in fiscal 2026, up from $13.80 billion in fiscal 2025, and at about 6 times expected earnings the stock trades far below its five-year average P/E of 74.27, with 184 hedge funds holding the stock in the most recent quarter, up from 154.
Micron Adds $43 Billion in Quarterly Sales as AI Demand Drives Blowout Earnings
Micron beat sales and profit forecasts for its latest quarter, driven by voracious demand from the AI boom, with guidance also strong except for margin comments on the earnings call that may have caused a muted market reaction. The memory chipmaker added about $43 billion in sales during the most recent quarter compared to the year-ago quarter, and more than $13 billion in sales from the quarter reported three months ago. Operating margins exploded in all business segments, exceeding 80% in some segments. Micron executives signaled tight capacity and higher prices for its products until 2028, with D.A. Davidson analyst Gil Luria saying expectations for tightening supply-demand conditions through both 2027 and 2028 meaningfully extend the industry's runway for strong pricing and earnings growth. The stock trades on a single-digit forward P/E ratio.
MU · Capital · Positive Micron beat sales and profit forecasts with blowout earnings and strong guidance driven by AI demand.
MU · Pricing · Positive Executives signaled tight capacity and higher prices for its products until 2028, extending strong pricing and earnings growth.
Micron CEO flags self-driving cars and humanoid robots as next memory demand driver
Micron CEO Sanjay Mehrotra said on the company's Q4 earnings call that physical AI, starting with self-driving cars and expanding to humanoid robots, could become a significant driver of memory and storage demand by the end of this decade. In its Q4 report on Wednesday, Micron reported earnings per share of $33.42, up 1,002% from $3.03 in the same quarter last year, while revenue climbed 379% to $54.23 billion from $11.31 billion in Q4 2025. Mehrotra said memory content in level 4 and higher autonomous vehicles typically exceeds 200 gigabytes, with storage reaching multiple terabytes, each more than an order of magnitude greater than in today's level two plus and level three semi-autonomous vehicles. He added that humanoid robots will have similar memory and storage requirements, which could serve as an additional revenue opportunity. Companies working on humanoid robots include Tesla, Figure, Hyundai's Boston Dynamics, Unitree Robotics, and Agility Robotics, though Reuters reported only 7,000 humanoid robots were sold globally in 2025 for industrial and professional services.
Robotics & Physical AI › Autonomous Vehicles & Robotaxi ▲Demand
Artificial Intelligence › HBM & AI Memory ▲Demand
Robotics & Physical AI › Humanoid Robots ▲Demand
MU · Capital · Positive Micron reported Q4 EPS of $33.42, up 1,002% year over year, and revenue up 379% to $54.23 billion.
MU · Demand · Positive Micron CEO flags self-driving cars and humanoid robots as a significant future driver of memory and storage demand, an additional revenue opportunity.
Micron Earnings, Soft Jobs Data and Bitcoin Rally Lift Bull Market
Micron Technology delivered another outstanding earnings report Wednesday evening, with revenue, earnings and margins all surging and management offering another strong outlook as demand continues to overwhelm available supply. According to UBS estimates, memory represented roughly 14% of total AI capital spending in 2025, a share expected to jump to 37% in 2026 and 64% by 2027. The U.S. economy added just 29,000 jobs in September, while July was revised down to a 10,000-job loss and August was revised lower to 133,000, with July and August payroll growth reduced by another 60,000 jobs combined; St. Louis Fed estimates put the breakeven rate needed to keep unemployment stable somewhere around 15,000 to 87,000 jobs per month. Bitcoin has gained roughly 35% over the past three months compared with about 10% for the Nasdaq 100, reversing its earlier summer underperformance. The Nasdaq is printing fresh all-time highs while the S&P 500 knocks on the door of record highs, as softer labor data pulls Treasury yields lower and eases pressure on the Fed to raise rates again.
Micron Reports Record Fiscal 2026 Results on AI-Driven Memory Demand
Micron Technology reported record financial results for its fiscal year 2026, crediting rising AI-driven demand and effective operational execution. The company said memory chips are becoming increasingly critical as AI evolves into what it calls "Super Intelligence," and pointed to increased technology investments and strategic customer agreements as the basis for its outlook. Micron last closed at $1,097.39, up 3%. In other chip trading, GlobalWafers rose 9.7% to NT$1,190.00, while VeriSilicon Microelectronics (Shanghai) fell 11.3% to CN¥171.68. NVIDIA ended at $230.86, up 1.1% near its 52-week high, after announcing a collaboration with Delta to enhance autonomous driving solutions using its AI technology; Advanced Micro Devices settled at $615.73, up 0.6%, and Broadcom ended at $343.64, down 2.1%.
Micron Set to Out-Earn All Magnificent Seven in Quarterly Operating Income
Micron is poised to out-earn every Magnificent Seven company in operating income in the current quarter, a milestone that would surprise most investors in the mega-cap tech names. The memory-chip maker easily beat sales and profit forecasts for its latest quarter on Wednesday, driven by voracious AI demand, and added about $43 billion in sales versus the year-ago quarter, with operating margins exploding across all business segments. Micron's market cap of roughly $1.1 trillion is the smallest of the group that also includes Microsoft, Google, Apple, Amazon, Meta, Tesla and Nvidia. Guidance was also strong, except for margin comments on the earnings call, and the stock is up 285% year to date.
MU · Capital · Positive Micron beat sales and profit forecasts with operating margins exploding across all segments, poised to out-earn the Magnificent Seven in quarterly operating income.
MU · Demand · Positive Results driven by voracious AI demand, adding about $43 billion in sales versus the year-ago quarter.
Micron Q4 Earnings Surge 11-Fold as Wall Street Closes Higher
Micron Technology reported fourth-quarter fiscal 2026 non-GAAP earnings of $33.42 per share, up more than 11-fold from $3.03 a year earlier and beating the Zacks Consensus Estimate by 5.73%. Revenue surged 379.3% year over year to $54.23 billion, topping consensus by 6.33%, as tight DRAM and NAND conditions lifted pricing and AI demand drove data center growth. Data center SSD revenues approached $10 billion, more than 10 times the year-ago level and more than two-thirds of total NAND revenues. Wall Street closed higher Thursday after a volatile start to October trading, with the Dow Jones Industrial Average up 0.04% at 50,926.56, the Nasdaq Composite up 0.04% at 26,871.60, and the S&P 500 up 0.2% at 7,666.45. The rally came as yields on U.S. Treasury Notes retreated from 24-year highs, with the 10-Year yield falling six basis points and the 30-Year four basis points in late trading after hitting 5.344% and 5.636% intraday, respectively.
Cloud & Digital Infrastructure › Enterprise Data Storage Systems ▲Demand
Artificial Intelligence › HBM & AI Memory ▲Demand
MU · Capital · Positive Micron's Q4 non-GAAP EPS surged 11-fold to $33.42 and revenue jumped 379.3% YoY, beating consensus on tight DRAM/NAND pricing and AI data-center demand.
US-10Y.GB · Monetary · Negative The 10-Year Treasury yield fell six basis points from 24-year highs as part of the market backdrop to Micron's earnings-driven rally.
US-30Y.GB · Monetary · Negative The 30-Year Treasury yield dropped four basis points after hitting 5.636% intraday, cited as context for the higher Wall Street close.
Micron CFO Says No Line of Sight for End of Memory Shortage
Micron CFO Mark Murphy said there is no line of sight on when memory supply will be sufficient to meet demand, as the company reported blowout fiscal Q4 results driven by the AI buildout. Earnings per share came in at $33.42, up 1,002% from $3.03 in the same quarter last year, while revenue climbed 379% to $54.23 billion from $11.31 billion. CEO Sanjay Mehrotra said on the earnings call that industry demand has strengthened since the last earnings call and that memory and storage supply-demand conditions are expected to be much tighter in fiscal 2027 and 2028 than in 2026, adding that as strong as fiscal 2026 was, fiscal 2027 should be even better. To head off a bust, Micron has signed 26 strategic customer agreements covering more than 35% of its revenue through 2030, most with pricing floors and ceilings. Murphy said Micron is building additional manufacturing capacity, but the facilities will take years to complete and months more to ramp once wafers start rolling off the lines.
MU · Capital · Positive Micron reported blowout fiscal Q4 results with EPS up 1,002% and revenue up 379% driven by the AI buildout.
MU · Demand · Positive Micron signed 26 strategic customer agreements covering over 35% of revenue through 2030, with memory supply-demand conditions expected to be much tighter in fiscal 2027 and 2028.
Micron Posts Record Earnings as Taiwan Union Moves Toward Strike Vote
Micron Technology reported record quarterly results after the close on Wednesday, but a labor dispute at its Taiwan operations is now threatening production at one of its key manufacturing bases. Fourth-quarter revenue came in at $54.23 billion, ahead of the $50.45 billion consensus and nearly five times the $11.32 billion reported a year earlier, while adjusted earnings of $33.42 a share beat estimates of $31.16. For the full fiscal year, revenue reached $133.19 billion against $37.38 billion the prior year, with operating margin at 76% on a non-GAAP basis, and Micron guided first-quarter revenue to $60 billion to $63 billion, well above the $56.77 billion consensus, with earnings of $37.15 to $39.15 a share. Chairman and CEO Sanjay Mehrotra credited AI demand and the company's Strategic Customer Agreements for the record fiscal 2026 results. According to reports, Micron said its roughly 15,000 Taiwan employees would receive the company's largest-ever compensation package for fiscal 2026, worth the equivalent of 35 to 68 months of base salary for production staff, but the Taoyuan union is pushing for a permanent mechanism allocating 15% of operating profit to employee bonuses rather than another one-off payout. Union chairman Lin Che-jui has said the aim is a long-term, transparent system, negotiations broke down on Sept. 21, and the union has announced plans for a strike vote, while Micron has said it remains willing to continue talks and separate mediation with the Taichung union is scheduled for Oct. 22. Taiwan is one of Micron's most important manufacturing bases for DRAM and the high-bandwidth memory used in AI servers, making any disruption a risk for investors at a time when supply is already tight, and a poll on workplace platform Blind found 75% of respondents support the Micron strikers receiving the additional 15%.
MU · Capital · Positive Micron reported record quarterly results with revenue of $54.23B beating consensus and guided Q1 revenue well above estimates.
MU · Supply · Negative A labor dispute at Micron's Taiwan operations is threatening production at a key DRAM and HBM manufacturing base amid already tight supply.
Micron Posts Blowout Quarter as AI Demand Drives Record Sales Growth
Micron delivered a blowout quarter, beating sales and profit forecasts on explosive demand from the AI boom, with guidance also coming in strong except for margin comments on the earnings call that may be causing a muted market reaction. The memory chip maker added about $43 billion in sales in the most recent quarter compared to the year ago quarter, and more than $13 billion in sales from the quarter reported just three months ago, with operating margins exploding in every single business segment both year over year and quarter over quarter. On the earnings call, Micron's CFO said the company expects price increases to moderate eventually, with a better mix of products worked based on technology and product leadership, and that market conditions would remain tight and supportive through 2028. Separately, Mattel CEO Ynon Kreiz is stepping down to become co-CEO of the merged Paramount and Warner Bros, a company that has said it may need to cut over $6 billion in costs. BFA's Vivek Arya raised his total addressable market outlook for AI in 2030 to about $2.2 trillion, up from about $1.8 trillion previously, naming Nvidia, Intel, Marvell, Micron and Lam Research among his top picks on the play.
Artificial Intelligence › AI Compute & Accelerator Silicon ▲Demand
MU · Capital · Positive Micron posted a blowout quarter, beating sales and profit forecasts with operating margins exploding in every segment.
MU · Demand · Positive Record sales growth was driven by explosive AI-boom demand for its memory chips, with tight supportive market conditions through 2028.
NVDA · Demand · Positive BofA's Vivek Arya named Nvidia among his top AI picks as he raised his 2030 AI total addressable market outlook to ~$2.2 trillion.
Bank of America's Vivek Arya Lifts 2030 AI Market Outlook to $2.2 Trillion
Bank of America analyst Vivek Arya raised his total addressable market outlook for AI in 2030 to about $2.2 trillion, up from his previous estimate of $1.8 trillion. Arya cited a more aggressive build-out of AI infrastructure in the United States, including more data centers, as the driver behind the increase. His top picks on the theme include Nvidia, Intel, Marvell, Micron and Lam Research. Intel was noted for a comeback year as its chip-making plants, built under former CEO Pat Gelsinger, have shifted from losses to a key strategic advantage. Micron was highlighted for higher prices and tight capacity, which the analyst called a magic elixir for the company's top and bottom lines.
Artificial Intelligence › AI Compute & Accelerator Silicon ▲Demand
Artificial Intelligence › AI Data Center & Build-out ▲Demand
Artificial Intelligence › HBM & AI Memory ▲Demand
INTC · Capital · Positive BofA's Vivek Arya named Intel a top AI pick, citing its chip-making plants shifting from losses to a strategic advantage.
MU · Capital · Positive BofA's Vivek Arya named Micron a top AI pick, highlighting higher prices and tight capacity as a boon to its top and bottom lines.
Volantis Raises $88M Series A for Photonic AI Inference System
Volantis, a semiconductor company building a new category of AI inference system, announced an $88 million Series A co-led by Lachy Groom and Abstract Ventures, with participation from John Doerr, VXI Capital, Triatomic and Susa Ventures, plus angel investors Dwarkesh Patel, Naveen Rao and Sholto Douglas. The company's first system, A-1, is being designed to run models exceeding 20 trillion parameters at up to 10,000 tokens per second per user while reducing inference cost per token. Volantis says A-1 will increase memory capacity and bandwidth simultaneously by nearly two orders of magnitude, using a photonic interconnect that connects compute chips to memory and aggregates the bandwidth of large numbers of memory chips into a unified pool. The architecture uses custom micro-VCSELs rather than external lasers, drawing on the existing gallium arsenide VCSEL supply chain and avoiding indium phosphide supply constraints, with end-to-end links consuming less than one picojoule per bit. The financing will support development and commercialization of A-1 and its photonic memory architecture, including expanding the engineering team, and Volantis plans to deliver its first integrated inference engines to customers in 2027.
Artificial Intelligence › Custom Silicon / ASIC Capital
Volantis · Capital · Positive Volantis raised an $88M Series A co-led by Lachy Groom and Abstract Ventures to fund development and commercialization of its A-1 photonic AI inference system.
Micron lifts revenue outlook on AI memory demand; Nike set to report
Micron unveiled an upbeat quarterly revenue forecast that topped expectations, sending its shares higher in extended-hours trading. The Idaho-based chipmaker said customers had increased their commitments under its long-term supply agreements to $32 billion, up from $22 billion reported in June, as businesses race to secure memory chips for AI data centers. Micron's stock price has more than tripled so far this year, giving the company a $1 trillion market capitalization. Separately, Nike was due to release its latest results after the closing bell, with investors watching for progress in CEO Elliott Hill's turnaround strategy; Nike shares have slumped by more than 44% this year and the company was removed from the S&P 100 this month. Tencent signed a $7 billion lease deal with Oracle for access to about 100,000 advanced artificial intelligence chips, the Financial Times reported, in what would be Tencent's largest ever overseas lease agreement.
Artificial Intelligence › AI Compute & Accelerator Silicon ▲Demand
Artificial Intelligence › HBM & AI Memory ▲Demand
MU · Demand · Positive Customers raised commitments under long-term supply agreements to $32B from $22B on AI memory demand, lifting Micron's revenue outlook.
0700.HK · Supply · Positive Tencent signed its largest ever overseas lease, a $7B deal with Oracle, to secure about 100,000 advanced AI chips.
ORCL · Demand · Positive Oracle signed a $7B lease deal with Tencent for access to about 100,000 advanced AI chips.
NKE · · Neutral Nike is only noted as due to report results, with no substantive development given.
Japanese Chip Stocks Surge as Micron Outlook Lifts AI Trade
Japanese chipmakers rallied on Thursday after Micron Technology's stronger-than-expected fiscal fourth-quarter results and outlook renewed optimism over AI-related semiconductor demand. Advantest jumped nearly 8% by 04:16 GMT, Lasertec surged 10%, TDK rose 5.5%, Taiyo Yuden climbed 8.3%, Murata Mfg advanced 7.4%, Kioxia Holdings rose 4.6%, Tokyo Electron added 6%, and Rohm gained 4%. Micron reported quarterly revenue of $54.23 billion and forecast first-quarter revenue of $61.5 billion, above market expectations. The company also said long-term supply agreements had risen to $32 billion from $22 billion in June, while demand for high-bandwidth memory used in AI data centres continued to outstrip available capacity. The rally helped lift Japan's Nikkei 2.8% to 68,606.81 points, with gains concentrated in AI and semiconductor-related shares.
HANA jumps 5% as KGI Securities recommends Buy with 63 baht target, eyes 44% profit growth in 2027
Shares of Hana Microelectronics Public Company Limited, or HANA, rose 4.90% to 53.50 baht on trading value of 1.60493 billion baht after KGI Securities (Thailand) Public Company Limited said in an analysis that its earnings outlook is on a recovery path. It expects third-quarter 2026 sales of about 173 million US dollars, up 10% from a year earlier and 5% from the previous quarter, driven by smartphone-related sales, which account for roughly 20% of total sales. Orders from the PMS business are expected to recover to about 4 million US dollars, while orders from Phononic are expected to rise to around 3 million US dollars. As a result, sales for the first nine months of 2026 are seen at approximately 494 million US dollars, up 5% from a year earlier, or 73% of the full-year sales estimate. Gross margin is expected to rise to 11.0% in the third quarter of 2026, up 5 percentage points from a year earlier and 0.3 percentage points from the previous quarter, helped by a smaller loss at PMS after production was shifted to a manufacturer in China, along with higher orders from Phononic and a weaker baht. Gross margin for the first nine months of 2026 is expected at 10.4%, up 1.9 percentage points from a year earlier and close to the full-year assumption of 10.6%. KGI Securities maintained its Buy rating on HANA with an end-2027 target price of 63 baht, based on a price-to-earnings ratio of 40 times, and expects core business profit to grow another 44% in 2027, supported by its entry into the AI supply chain and the start of a second mass production round of cooling solutions for HBM and GPU devices through the partnership between HANA and Phononic.
HANA.BK · Capital · Positive KGI Securities maintains Buy rating with 63 baht target, citing recovering earnings and 44% core profit growth in 2027.
Phononic · Demand · Positive Phononic orders are expected to rise to about $3 million, and its HBM/GPU cooling solutions partnership with HANA supports growth.
KGI.BK · · Neutral KGI Securities is the analyst issuing the Buy rating and target, but the news is about HANA, not KGI's own business.
Micron Q4 fiscal 2026 revenue surges 379% to $54.2 billion
Micron Technology Inc. reported fourth-quarter fiscal 2026 results that set new records for revenue, gross margin, and earnings per share. Revenue came in at $54.23 billion, above the market estimate of $51.07 billion and up 379% from the same period a year earlier. Adjusted earnings per share were $33.42, above the market estimate of $31.61, while adjusted gross margin was 87.0%, above the market estimate of 86.1%. By business unit, the Core Data Center Business Unit posted the highest revenue at $18.00 billion, up 1,042% from a year earlier, followed by the Cloud Memory Business Unit at $16.28 billion, up 258%, the Mobile and Client Business Unit at $13.11 billion, up 249%, and the Automotive and Embedded Business Unit at $6.82 billion, up 376%. For fiscal 2026 as a whole, Micron reported total revenue of $133.19 billion, up from $37.38 billion the previous year. It expects first-quarter fiscal 2027 revenue of $61.5 billion, plus or minus $1.5 billion, above the market estimate of $57.02 billion. The company also declared a quarterly dividend of $0.15 per share and began sampling a 512GB DDR5 RDIMM memory module, which it says is an industry first and supports speeds of up to 9,200 MT/s.
Artificial Intelligence › HBM & AI Memory Technology
MU · Capital · Positive Micron reported record Q4 fiscal 2026 revenue of $54.23B, EPS of $33.42, and gross margin of 87.0%, all above estimates, with strong Q1 FY2027 guidance.
MU · Technology · Positive Micron began sampling a 512GB DDR5 RDIMM memory module, an industry first supporting speeds up to 9,200 MT/s.
Micron Technology Posts Massive Gains in Q4 with Revenue Up 4.8x and Net Profit Up 12x
Micron Technology, a major maker of memory semiconductors for AI servers, reported on September 30 its fiscal 2026 fourth-quarter results for the June-August period, with revenue up 4.8 times year-on-year to 54.229 billion dollars, net profit up about 12 times to 37.701 billion dollars, and adjusted diluted earnings per share up about 11 times to 33.42 dollars, beating market expectations. Growing demand for AI servers and rising memory prices boosted results, with the cloud memory business segment revenue up 3.6 times year-on-year to 16.283 billion dollars and the core data center business segment up about 11 times to 18.002 billion dollars. For the fiscal 2027 first quarter covering September to November 2026, the company forecast revenue with a midpoint of 61.5 billion dollars and adjusted earnings per share with a midpoint of 38.15 dollars. It plans capital expenditure of about 25 billion dollars in fiscal 2027, expanding DRAM and NAND production capacity in Japan, Taiwan, Singapore and elsewhere. CEO Sanjay Mehrotra said memory and storage supply and demand will tighten further in fiscal 2027 and fiscal 2028.
