Micron Technology, Inc.

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Bullish +75

Forget Micron? This New AI Memory Stock Could Be the Best Buy of the Decade

🚀 SK hynix launched on Nasdaq (ticker SKHY) on July 10 as the dominant HBM supplier with an estimated 58% global market share.

📊 Bernstein Research projects SK hynix will reach 91% gross margins in Q2 2026, significantly higher than Micron's projected 50-55%.

💰 Hyperscalers are expected to spend over $700 billion on AI infrastructure this year, sustaining elevated demand for HBM.

🏆 SK hynix currently supplies much of the advanced memory paired with Nvidia's latest AI accelerators.

📈 Micron shares have climbed 141% year-to-date and are up roughly 700% over the past year due to the AI boom.

🔒 Micron's HBM production is currently sold out through the end of the year while capacity expands.

🤝 The article suggests investors can own both stocks, noting SK hynix offers exposure to the current market leader rather than replacing Micron.

📉 Nvidia shares are noted as being up 4.5% in 2026 and 360% since July 2023 for comparison against memory stocks.

Bullish Signals
  • SK hynix holds a dominant 58% global market share in HBM, dwarfing Micron's 21% share according to the article.
  • Analyst projections indicate SK hynix will achieve extraordinary gross margins of 91% by Q2 2026 and operating margins of 70-80%.
  • SK hynix is currently supplying much of the advanced memory paired with Nvidia's latest AI accelerators, confirming its market leadership.
  • Hyperscalers are expected to spend over $700 billion on AI infrastructure this year, ensuring demand remains elevated for HBM components.
  • Micron shares have delivered strong returns, climbing 141% year-to-date and gaining approximately 1,440% over the past three years.
Full Analysis
SK hynix (ticker SKHY) launched on the Nasdaq on July 10, positioning itself as a dominant supplier of High Bandwidth Memory (HBM) for artificial intelligence applications. The article highlights that SK hynix currently holds an estimated 58% global market share in HBM, significantly outpacing competitor Micron Technology (ticker MU), which holds a 21% share. This launch provides U.S. investors with direct access to what industry observers consider the world's premier AI memory manufacturer. Analyst projections from Bernstein Research suggest SK hynix will achieve exceptional profitability in the near future, with gross margins reaching 91% by Q2 2026 and operating margins between 70% and 80%. These figures are projected to exceed Micron's estimated margins of 50% to 55%, driven by SK hynix's larger mix of premium HBM products. The company is currently supplying much of the advanced memory paired with Nvidia's latest AI accelerators, solidifying its leadership in the highest-value segment of the market. The article argues that memory has become a critical bottleneck for the AI industry, driven by hyperscalers expected to spend over $700 billion on AI infrastructure this year alone. While Micron shares have surged significantly due to strong demand and sold-out production through year-end, SK hynix is presented as a compelling new opportunity with expanding margins and market leadership. The piece concludes that owning the company with the most sought-after supply in a constrained industry offers a strong investment case.