Micron Races Past $1 Trillion as Samsung Turns Up the Heat in AI Memory Battle

It took Micron Technology just 48 days to double its market capitalisation from $500 billion to $1 trillion — a scorching pace that leaves even Nvidia’s 490-day sprint in the dust. The stock closed the week at a fresh 52-week high of €833.10, up nearly 5% on Friday alone, and has more than tripled since the start of 2025. Yet even as institutional investors like Coatue Management add to their positions, the competitive landscape in the high-growth memory market is shifting fast.

Samsung Electronics raised the stakes on May 30 by shipping samples of its new 12-layer HBM4E memory chips to customers. The next-generation high-bandwidth memory is more than 20% faster than its HBM4 predecessor and combines Samsung’s most advanced DRAM process with a 4-nanometer logic base die. This offensive comes just three months after Samsung started delivering HBM4 units, signalling an aggressive push to challenge SK Hynix and Micron in the AI memory arena. According to Counterpoint Research, SK Hynix controls 57% of the global HBM market, Samsung 22% and Micron 21%.

Analyst price target nearly triples on pricing power

The competitive threat did little to arrest the week’s rally. The session’s strongest catalyst came from Susquehanna Financial Group, where analyst Mehdi Hosseini raised his price target from $600 to $1,750 on May 29 while maintaining a “Positive” rating. The upgrade is grounded in dramatic pricing dynamics: DRAM prices surged 50% to 60% quarter-on-quarter in the second quarter, while NAND prices jumped 75% to 100%. More striking is the structural supply constraint — high-bandwidth memory capacity is sold out for the rest of the year, and a substantial portion of 2027 production is already under contract. Hosseini expects the tightness to persist well into 2027, locking in elevated margins for Micron.

Should investors sell immediately? Or is it worth buying Micron?

That pricing power is receiving a powerful endorsement from the server market. Dell Technologies reported stellar quarterly earnings on May 30, sending its own shares up more than 30% on the day. Dell’s AI server division generated $16.1 billion in revenue, overtaking the PC business for the first time. The company’s COO confirmed acute supply bottlenecks, especially for memory chips, with customers signing long-duration supply agreements and Dell passing on higher component costs. For Micron, these signals translate into sustained demand and rising prices.

Technical picture and the earnings test ahead

The speed of the advance has created an unusual technical backdrop. The relative strength index stands at 31.4 — a reading that typically suggests an oversold condition, but in this case reflects the rapid vertical move of the past week. The 50-day moving average sits at €483.26 and the 200-day average at €291.82, both far below the current price. The stock has more than doubled from its late-March trough of around €304.

Despite the blistering rally, several analysts argue the stock remains reasonably valued. The forward price-to-earnings multiple hovers around 10 times, low for a Philadelphia Semiconductor Index constituent with this growth trajectory. The next major test arrives on June 24, when Micron reports its fiscal third-quarter results. Management has guided for revenue between $32.8 billion and $34.3 billion and earnings per share of $18.75 to $19.55. Those numbers will show whether the market’s trillion-dollar bet is fully priced in — or whether the combination of supply constraints, AI-driven demand, and competitive pressure from Samsung leaves room for the next leg.

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