Micron Technology shares rose about 1.3% to $990.14 Friday morning after Intel CEO Lip-Bu Tan said memory prices have surged fivefold to sevenfold and that supply constraints will persist into next year. Tan's comments reinforce the tight memory market now driving Micron's profitability, with the company's latest reported quarter delivering an 84.6% GAAP gross margin and management guiding the following quarter to roughly 86%. At $990.14, Micron trades 54.71% above its $640 GuruFocus GF Value, a premium that raises the bar for the company to convert the pricing windfall into durable cash flows before supply eventually catches up.
Micron Technology IncIntel CEO says memory supply constraints will persist into 2027, reinforcing the tight market driving Micron's 84.6% gross margin and ~86% guidance.
Intel CorporationIntel CEO Lip-Bu Tan's comments on memory scarcity are cited as the source of the news, but no impact on Intel itself is described.
