The HBM Shortage May Make Micron A $1 Trillion Giant

Doug Collins33 FollowersFollow5ShareSavePlay(24min)Comment(1)SummaryMicron is positioned at the epicenter of a structural High Bandwidth Memory shortage, with demand outstripping global supply through at least 2030.Q2 2026 results show MU revenue nearly tripled YoY to $23.86B, with gross margins exceeding 74%, driven by AI data center demand and supply constraints.Guidance for Q3 2026 implies $33.5B revenue and 81% gross margins, signaling a demand surge that may exceed annual global HBM production capacity.mesh cube/iStock via Getty Images In my last article, "Urgent Demand For Data Centers" I made the case that power availability has become the primary bottleneck of the AI buildout. Hyperscaler CAPEX has gone past $600 billion this year alone. TheThis article was written byDoug Collins33 FollowersFollowI come from the world of SQL queries, data visualization. My professional background is in data analytics and social media marketing, which gave me a weird but useful lens for looking at markets. I usually think in datasets, trends and pattern recognition before I think in headlines. I started learning about the investing and financial market during COVID like a lot of people, but unlike most, I never left. What started as buying a few stocks during lockdown turned into a deep dive down the rabbit hole and studying market structure, learning options. Over time I went from a casual investor to actively swing trading stocks and regularly trading Nasdaq futures. I also actively trade options and Nasdaq (NQ) futures as a swing trader, which keeps me plugged into short-term market dynamics, and volatility. When I am not staring at charts or digging through earnings reports, you'll find me training jiu-jitsu at my local academy.Analyst’s Disclosure: I/we have a beneficial long position in the shares of MU, GOOG, META, MSFT either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.