June 13 - Micron Technology (MU, Financial) emerged as a clear leader in the Semiconductor sector since Trump paused tariffs in April 2025. MU shares have climbed more than 70% since early April after a tariff truce eased pressure on chipmakers.
The memory specialist also showed impressive financial performance as it saw its DRAM revenue reach $6.1 billion in fiscal Q2 2025, down about 4% from the prior quarter but up roughly 47% year on year. Company statements attribute the growth to high-bandwidth memory (HBM) and stronger data centre demand.
Micron expects the HBM total addressable market to grow from about $16 billion in 2024 to nearly $100 billion by 2030, implying roughly a 36% annual increase. Samples of its HBM4 36GB 12-high product have been shipped to key customers, with a volume ramp slated for 2026 to match next-gen AI platform needs.
Market watchers note Micron complements GPU makers by supplying crucial memory for AI workloads. While the stock rebound reflects optimism, future gains may depend on sustained HBM adoption and industry balance. Investors remain watchful of broader AI-driven demand and any shifts in trade relations.
Meanwhile, Analysts caution that margin expansion may hinge on supply discipline and pricing stability amid potential oversupply risks; Micron's capital investments in HBM could strain cash flow if demand falters, making vigilance on inventory levels and end-market consumption critical over time.
