Bank of America Reiterates "Buy" Rating for Micron: Semiconductor Correction is a Healthy Adjustment

Odaily Bank of America Securities has released its latest semiconductor industry report, pointing out that the recent correction in semiconductor stocks is a normal market adjustment, not a signal of weakening AI demand. Historical data shows that semiconductor stocks often undergo consolidation in the summer; after the market completes profit-taking and valuation corrections, a new wave of rebounds typically emerges in the autumn.

The report estimates that by 2027, global capital expenditures for cloud computing and AI infrastructure will approach $1.5 trillion, representing an increase of approximately 40% to 50% from current levels. Regarding memory chips, the bank believes that with the continued expansion of demand for HBM, DDR5, and enterprise storage, coupled with AI servers persistently driving demand for DRAM and NAND Flash, the memory industry will remain a significant beneficiary of the AI investment wave, with clear room for valuation recovery. The bank reiterates its "Buy" rating for Micron, maintaining a target price of $1,550, believing that the company remains the most attractive investment target in the current memory industry.