u/Stunning-Dig-8916

The author argues that large capital expenditures by Google, Microsoft and other hyperscalers are driven by growing demand for memory and storage fueled by AI. Because these companies cannot slow down without falling behind, the spending will continue and benefit storage producers. The author is fully bullish on Seagate as one of the primary beneficiaries, with the thesis playing out as semiconductor prices eventually decline toward the end of the decade.

The author argues that large capital expenditures by Google, Microsoft and other hyperscalers are driven by growing demand for memory and storage fueled by AI. Because these companies cannot slow down without falling behind, the spending will continue and benefit storage producers. The author is fully bullish on Western Digital as one of the primary beneficiaries, with the thesis playing out as semiconductor prices eventually decline toward the end of the decade.

Author argues a memory super-cycle and HBM shortage will last at least until 2028, potentially into the 2030s, and that Micron is the only one of the three largest HBM makers listed on the NYSE. He cites Micron's HBM4 2026 supply sell-out, US fab expansion, a quoted forward P/E of roughly 10–12 versus Nvidia/AMD, a quoted analyst FY2026 revenue projection of $75.6B (+102%), and a $7.8M insider purchase, expecting a possible trillion-dollar market cap by end of year. He holds 140 MU entered around $330 and says a shortage lasting past 2028 would make today's price look like a steep discount. Main stated risk is AI bubble fears and memory cyclicality.