Breaking News
Get 40% Off 0
Is NVDA a 🟢 buy or 🔴 sell? Unlock Now

Mizuho sees tailwinds for Micron Technology and Western Digital

Published Dec 06, 2023 15:54
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters
 
MU
+5.42%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
WDC
+4.33%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

Mizuho raised its price targets for Micron Technology (NASDAQ:MU) and Western Digital (NASDAQ:WDC) in a note Wednesday, stating they continue to see positive constructive tailwinds for Memory, driving an upcycle into 2024E for both DRAM and NAND.

Analysts lifted the MU price target to $86 from $82 per share and the WDC price target to $55 from $52 per share.

"We see 1) supply cuts to sustain with lower capex wafer starts below demand, 2) demand better with PC/handsets, stronger Hyperscaler/Enterprise recovery lagging 1-2Qs, 3) DRAM/NAND pricing NovQ up 8-10% q/q, ahead of expectations, and expected to sustain into C24E," analysts said.

For MU the firm sees multiple tailwinds: "1) key HBM3E ramp, MU is targeting longer-term share in-line with its DRAM industry share (CY22E: ~25%) as it ramps with NVDA's GH200 and B100 (HBM3E could see prices 4-6x vs. DDR5), 2) INTC Ultra (Meteor Lake) launching into "AI PC" and could drive strong content growth from 8GB to 16GB LPDDR5, and 3) we also see potential for increased US scrutiny and restrictions on CXMT (private) 17nm DRAM into 1Q24E, which could be a tailwind for MU as DRAM supply consolidates."

The analysts noted that for WDC, HDD pricing continuing to trend up is positive for the company, while its flash memory business spinoff also brings tailwinds.

Mizuho sees tailwinds for Micron Technology and Western Digital
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email