Tech earnings lift stocks as investors weigh what comes next
Speakers
Josh Brown
— CEO, Ritholtz Wealth Management
Joe Terranova
— Senior Managing Director, Virtus Investment Partners
Liz Young Thomas
— Head of Investment Strategy, SoFi
Summary
The Investment Committee debates buying Micron after its meteoric rally. Josh Brown warns against buying due to unsustainable price increases and speculative froth. Joe Terranova suggests buying call options for short-term speculation given strong demand. Liz Thomas notes solid fundamentals but poor technical entry points. The broader semiconductor theme is discussed with mixed views on timing.
- Micron has surged over 200% year-to-date, reaching a $1 trillion market cap in 48 days.
- Josh Brown cautions that price increases are rarely sustainable and many investors already have exposure.
- Joe Terranova recommends buying call options for near-term speculative gains.
- Liz Thomas highlights strong fundamentals but uncertain technical entry.
- High-bandwidth memory demand remains insatiable with supply sold out through 2026.
- Excessive speculation and elevated trading volumes raise concerns about a correction.
- Panelists disagree on whether the rally is justified or driven by momentum.
Trade Ideas
Avoid Micron due to unsustainable price hikes.
Josh Brown warns that Micron's massive price increases in memory chips are rarely sustainable, and AI models may eventually become more memory-efficient, reducing demand. Many investors already have indirect exposure through ETFs and 401(k) funds, so buying common stock now is risky and likely to lead to a significant correction. He advises against buying Micron at current levels.
Up Next
This CNBC video, published May 27, 2026, features Josh Brown discussing MU. 1 trade idea extracted by AI with direction and confidence scoring.
Speakers: Josh Brown · Tickers: MU