This article first appeared on GuruFocus.
Micron Technology Inc. (MU, Financials) has been one of the clearest winners of the AI spending boom. The problem for investors now is that almost everyone knows it.
Shares have climbed roughly 755% over the past year, turning Micron from a familiar memory-cycle name into a trillion-dollar AI infrastructure story.
The business numbers help explain the excitement. Fiscal third-quarter revenue reached $41.5 billion, up 74% from the previous quarter. Micron also guided for $50 billion in revenue in the following quarter.
Demand is not limited to high-bandwidth memory. DRAM and NAND are also benefiting as AI data centers require more memory and storage across the system.
More importantly, Micron has said demand for HBM in 2027 and 2028 remains above available supply. Customers are already trying to secure capacity years ahead.
That leaves investors with a different question. Micron's AI story still looks strong, but the stock is no longer being ignored. After such a large rally, future gains may depend on the memory shortage lasting longer than Wall Street currently expects.
Analysts remain bullish, with 29 Buy ratings and one Hold among 30 recent ratings. The next test is whether Micron can keep delivering earnings growth strong enough to support those expectations.