Micron Insider Teyin Liu Just Bought $7.8 Million in MU Stock. Should You Buy Shares Too?

Core Insights - Micron Technology is well-positioned to benefit from the growth of artificial intelligence (AI) for at least the next two years, with strong bullish sentiment from the market despite its stock's significant rise [1][2] - The company has seen substantial revenue and net income growth, with a 21% increase in revenue to $13.64 billion and a 64% rise in net income to $5.24 billion year-over-year [3] - Micron's stock has increased by 264% over the past 52 weeks and 44% in the last month, yet it remains undervalued with a forward price-to-earnings (P/E) ratio of 11.3 times [4] Company Overview - Micron specializes in computer-memory solutions, particularly high-bandwidth memory (HBM) used in AI chips, and is a major supplier to Nvidia and AMD [3] - The upcoming HBM4 product is expected to offer industry-leading bandwidth and power efficiency, further enhancing Micron's market position [3] - The company anticipates strong demand for high-capacity server DRAM and data center solid-state drives (SSDs) by 2026 [3] Market Dynamics - The memory chip shortage is expected to persist until 2027, driven by high demand for HBMs, which has led to a price increase of up to 60% in 2025 [5] - This shortage is described as unprecedented, significantly benefiting Micron's profit margins [5]