Summary

• Micron Technology, Inc. has again delivered unprecedented growth, with FQ3 revenue up 346% to $41B and gross margins near 85%, driven by the AI memory demand surge.
• MU's strategic customer agreements (SCAs) now cover 20% of DRAM and one-third of NAND volumes, securing $22B in deposits and $100B in RPO through FY2027.
• Despite remarkable execution and cash flow, normalization risks loom post-FY2027 as supply ramps.
• Micron has truly silenced its skeptics, but that doesn't mean that cyclical risks are certainly gone with the wind. Growth could slow dramatically through FY2028.
• I believe it is not only timely but critical for new Micron investors to demonstrate restraint given MU's vertical price action, downside cyclical risks, and limited multiple expansion without further upside catalysts.
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Micron is Entering the Stratosphere Right Now

Micron Technology, Inc. (MU) is really taking everyone on a massive ride right now, one that is truly unprecedented in its history, I think. Although I have actually observed

Analyst’s Disclosure: I/we have a beneficial long position in the shares of AMD, NVDA either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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