Technology

Report by JNK Research

Specialty memory remains extremely tight, with fabs running close to full, gross margins at historical highs and the next meaningful capacity addition not arriving until 2027. JNK's research indicates specialty memory revenue rose close to 60% Q/Q and ~170% Y/Y last quarter, while Q2 price increases were larger than Q1. Pricing leverage sits with suppliers that still have legacy allocation through next year, including MU's remaining book. Customers are pushing suppliers into long term supply agreements, often with pricing left open, while end customers two and three steps down the chain are approaching component makers directly to secure supply. The key risk is that 2027 capacity additions ease the current squeeze, but JNK believes demand could still run ahead of supply, while a stacked memory product could offer a lower-cost bandwidth alternative to HBM for Broadcom (and Marvell) custom silicon.

Technology

Report by Rosenblatt Securities

QNT has set the industry benchmarks in quantum compute and yet trades at a substantial discount to its peers. With 50 logical qubits at a logical two-qubit gate error rate of roughly one in every 10,000 operations, Rosenblatt believes QNT’s Helios quantum computer is the most powerful production machine on earth. Senior management brings experience from Intel, Micron, Nike and Honeywell - whose 49% ownership stake brings blue-chip controls to the company. QNT’s product plans should keep them at the front of the quantum capability pack through commercial quantum advantage and the likely resulting significant inflection in financial results. The stock has also been added to the Rosenblatt Quantum Index (RQI). TP $155 (180% upside).

Technology

Report by Trivariate Research

Trivariate models MU’s earnings across thousands of simulated scenarios varying the size and duration of the current memory cycle, concluding that peak earnings are most likely between mid-2028 and late-2029. Their base case assumes that c.75% of the current earnings improvement is structural rather than purely cyclical, driven by AI-related memory demand extending the cycle beyond historical norms. Under this scenario, the company’s peak EPS could approach $190-$200, materially above current Wall Street expectations, while normalised earnings power is estimated at $82-$86 per share after adjusting for cyclicality. The current share price implies only c.5-6x projected peak EPS; if investors ultimately value peak earnings closer to 8x, the stock could be worth $1,500-$1,600/share. Even using normalised earnings the stock appears reasonably valued trading on 11-12x EPS.

Report by Aitken Advisors

James Aitken believes that society remains in the foothills of our collective AI journey. As powerful as it has been, as many questions as we have about return on capital employed, it seems to him that the AI juggernaut is accelerating. James isn’t trying to take advantage by catching the Dell, Micron, SK Hynix, Samsung Electronics or related AI pianos. (Although he points out that if Jensen Huang builds out his desired ecosystem, Nvidia is not that expensive). What he’d like to buy during this turbulence is more Shell, then BHP, RIO, Glencore and Tivan. In other words, more of the ‘picks and shovels’ winners of the AI boom and winners of national resilience agenda with dependable management, and excellent execution. That includes Bloom Energy, too, which James believes will soon jump from small to megacap, missing out midcap.

Report by Vermilion Research

The Vermilion team remain bullish on the S&P 500 (SPX), Nasdaq 100 (QQQ), and Russell 2000 (IWM). Market dynamics continue to improve ever since the major bullish false breakdowns at 6480-6520 on the SPX, 24,000 on Nasdaq futures (NQ), and $245 on the IWM, with all of them now breaking out to all-time highs and holding above bullish gaps from April 17. Everything that the team sees suggests bulls remain firmly in control, so the team want to be buying any pullbacks for the foreseeable future to the 20-day MA or 21-day EMA. The team discussed adding exposure to growth, and primarily technology, as growth has taken over as leadership relative to value. RS on the cap-weighted XLK is now breaking above its 2025 highs and they are upgrading Technology to overweight. The team have remained overweight semiconductors (SMH, NVIDIA Corp, Taiwan Semiconductor Manufacturing Co Ltd, Ciena Corp, etc.) and memory (SanDisk Corp, Western Digital Corp, Seagate Technology Holdings PLC, Micron Technology Inc) ever since last June, and these remain their favourite areas within Tech.

Technology

Report by Summit Insights Group

Time to take profits - KinNgai Chan downgrades MU to Hold, expecting recent outperformance to moderate into 2H26 and 2027. While memory demand-supply dynamics and pricing remain favourable through 1H26, he sees price increases decelerating meaningfully into the second half as the current imbalance begins to ease. Despite continued strength in AI server demand, broader end markets are expected to soften, with PC and smartphone TAM contracting under the weight of higher memory prices. In addition, Samsung’s potential entry into Nvidia’s HBM supply chain is seen as a further negative catalyst.

Technology

Report by Radio Free Mobile

An excellent Q4 has effectively completed the turnaround in Samsung’s shares, shifting the debate from recovery to how long to stay invested. The company has done exactly as Richard Windsor expected - abandoning HBM3 and focusing entirely on HBM4 - and he is now virtually certain that Samsung will be announced as having qualified for Nvidia and will return to being a major supplier in 2H26. With global HBM capacity constrained through at least 2026 and likely 2027, Samsung, alongside SK Hynix and Micron, will sell everything they can produce at attractive pricing for a while yet. Richard suspects that forecasts will increase again when the company reports its results in detail later this month. While he is starting to think about exiting his position in the stock, the valuation remains fairly unchallenging compared to the peer group.

Report by Radio Free Mobile

The last week has seen AI sceptics jumping up and down about a coming crash, but Richard Windsor sees them citing data that is misleading. One reason was the MIT study, which claimed that 95% of AI projects failed to yield benefits, but the report also said that great benefits can come when such projects are implemented correctly. So, the sceptics may be wrong, but not nearly as wrong as those who believe superintelligent machines are soon to be among us. Richard sees the idea of $200bn/yr in revenue for OpenAI by 2030 as preposterous, and sees a correction coming, but it won’t be a crash on the scale as the AI sceptics claim. Hyper valued companies burning through money will get into real trouble, but the picks and shovels like Nvidia, Nebius, Micron, SK Hynix, Samsung and Qualcomm and so on are likely to continue to do well. Richard continues to hold the latter two.

Technology

Report by Arete Research

Despite a solid Q3 beat and raise, MU shares fell on misplaced concerns over HBM oversupply. Arete sees strong FY26 growth, with HBM projected to reach ~40% of DRAM sales by late 2026, reinforcing MU’s status as an essential yet still undervalued AI stock. Nvidia continues to request additional HBM and potential resumption of H20E (with HBM3E-8Hi) sales could act as a catalyst for further global supply tightening. MU must demonstrate HBM4 competitiveness (16-layer stacking capability) within 6-8 months to ease investor concerns. Arete also expects MU to gain eSSD market share at the expense of Samsung and SK Hynix. A combination of stable traditional DRAM pricing and rising HBM mix to drive a 63% Y/Y rise in FY26 EPS to $12.78. TP increased to $150 (35% upside).

Report by Trivariate Research

Trivariate analysed the top 500 US equities for five factors beyond the market: size (top 100 vs. 401-500), growth vs. value, high-quality vs. junk, liquidity and momentum. They focused on 3 different portfolios (min-vol, max-Sharpe, max-return) to show a range of outcomes. Over the last 20 years, the “efficient frontier” or optimal beta for a median portfolio appears to be between 0.95 and 1. If you are looking to lower your portfolio beta efficiently, owning high-quality value stocks with relatively low liquidity is a prudent strategy (e.g. Exxon Mobil, Philip Morris, Lowe’s, Medtronic). If you want to take more risk, the optimal factor loadings would be to add to highly liquid growth stocks that are junk quality (e.g. Tesla, Applovin, Micron).

Technology

Report by Lynx Equity Strategies

Bad news comes in threes. First, there is a new-found realisation that AI returns are not keeping up with massive AI investments. Second, there are macro-related worries. And now third, a report emerged that NVDA’s Blackwell roll-out is being delayed due to “design flaws”. KC Rajkumar is not surprised. In a recent Micron note, he pointed to the potential for heating-related failures of the NVDA GPU-HBM module. His most recent checks now show that NVDA is likely to pause GPU wafer starts at TSMC until yield-issues are resolved. KC expects a hole appearing in NVDA’s 2FH25 product roll-out and revenue ramp. Estimate cuts are on the way. He is looking for the stock to head to the $80 level into the upcoming earnings call. Advanced Micro Devices, on the other hand, could end up being an accidental winner.

Technology

Report by Lynx Equity Strategies

The must-have name in the AI space - KC Rajkumar sees MU rivalling AMD’s market cap in the next 12-18 months. As KC predicted, MU blew away investor expectations, not merely by beating and raising quarterly numbers, but by providing a qualitative outlook for revenue / margins into Cy24 and Cy25 - unimaginably impressive for what is supposed to be a cyclical business. Not even Nvidia has been able provide a two-year outlook. Agnostic to AI chip suppliers, and increasingly a pure-play in AI, renders MU more attractive, at this stage in the investment cycle, to the likes of NVDA, AMD, Broadcom and Marvell.

Report by Trivariate Research

Adam Parker of Trivariate Research provides a framework for finding “melting ice cubes” - he evaluated prior price performance (momentum over previous 12 months), accruals (disconnects between earnings and FCF), revenue (share loss), gross margins (relative to industry group contraction), earnings declines and downward earnings revisions as potential candidates for “cube identification”. Adam found that no other major fundamental attribute comes close to achieving the level of success at predicting subsequent underperformers as either accruals or momentum. Fundamental analysts who focus disproportionately on revenue share gain and margin contraction to find short ideas are wasting their time. Short ideas include Home Depot, Equinix and Micron.

Technology

Report by Propitious Research

Improving global market positioning whilst still trading at a discount to peers - SK Hynix trades on a 7.2x forward PE ratio despite commanding a strong position in the DRAM market and gaining significant market share in NAND over the last year (surpassing Western Digital, whilst Micron and Intel have also lagged). Following the completion of the first phase of its Intel NAND acquisition, SK Hynix should be the #2 manufacturer globally, edging out Kioxia (in which SK Hynix owns a 15% stake). Given the strong pricing environment Wium Malan believes consensus forecasts look very conservative.

Asset Allocation

Report by Entext

The Toshiba private equity offer and Hitachi’s ongoing corporate reinvention highlights the significant upside in Japan if balance sheets are managed more aggressively. Given the China geopolitical threat the Toshiba deal looks politically doable alongside a likely bid by Micron for NAND maker, Kioxia, which will further boost activist ambitions in the country. With the weak JPY offsetting a cyclical rally, Japan’s share of the MSCI AC is down to under 7% (despite an accelerating buyback and ROE trend) - as US share peaks, this could double within five years.