The huge upturn in demand for memory chips paved the way for a ‘massive breakout’ of Micron’s stock price after coming from a 3-year base.
Nowadays, almost anything has a chip inside whether it be in cars, phones, or appliances and this common reason can be linked to the recent rise of Micron.
Being a producer of computer memory and computer data storage, Micron Technology Inc. (NASDAQ: MU) is dubbed to be one of the largest makers of DRAM and NAND memory chips globally and supplies memory chips to other businesses that need it for their products.
In an interview with CNBC, Mark Tepper of Strategic Wealth Partners said, “I’ll be holding Micron.”. He mentioned that there’s always a supply and demand narrative over this type of company. “Their product is the ‘input’ to technology and not technology itself.” Mark added that he rather own the ‘technology’ than having only the raw product.
Meanwhile, MKM Partners’ JC O’Hara said, Micron has plenty of room to run upwards. He emphasized that the recent breakout of Micron after a long period of consolidation is a ‘very powerful bull run’. “Technically, we see the stock to push higher to $85 in the near term and that gives you another 10% from the current levels.”. He concluded that investors must stay in touch with Micron’s management when it reports earnings on Jan. 7, because this could either be a potential catalyst or risk factor for the stock.
Mohnish Pabrai was loading up on Micron shares in 2020 when they were trading around $45.