Core Viewpoint - Micron's stock surged over 10% following strong quarterly results, driven by increased demand for memory chips due to the tech industry's focus on building AI-capable data centers [1] Financial Performance - Micron's DRAM revenue increased by 69% to $10.8 billion in the first quarter, primarily due to AI-related demand for high bandwidth memory (HBM) chips [2] - The company's earnings per share (EPS) reached $4.78, exceeding the expected $3.95, while quarterly revenue was $13.6 billion, surpassing the $13 billion estimate by analysts [3] - Revenue from NAND storage chips used in data centers exceeded $1 billion for the first time [3] Future Outlook - Micron forecasts second-quarter revenue between $18.3 billion and $19.1 billion, significantly above the $14.4 billion expected by analysts [4] - The company anticipates EPS to reach $8.42 at the midpoint for the February quarter, ahead of the $4.71 estimate, with projected gross margin hitting an all-time high of 68% [4] Market Dynamics - CEO Sanjay Mehrotra noted that AI data center buildout plans have sharply increased demand for memory and storage, with supply expected to remain short of demand for the foreseeable future [5] - The market for HBM chips is projected to grow from $35 billion in 2025 to $100 billion by 2028 [5] Analyst Sentiment - Following the positive earnings surprise, Wall Street analysts raised their price targets for Micron shares, with some estimates reaching as high as $500 [6] - Analyst Melissa Fairbanks from Raymond James increased her price target from $190 to $310, citing favorable industry conditions driven by AI-related demand and tight global supply [6] Stock Performance - Micron's shares were trading around $251, with a year-to-date increase of approximately 210% [7]

Core Viewpoint - Samsung Electronics and SK Hynix experienced significant stock price increases due to a partnership with OpenAI for the Stargate AI data centre project, adding $37 billion to their combined market capitalisation [1][2]. Group 1: Company Performance - Samsung Electronics shares rose by 4.7%, reaching their highest level in over four years [1]. - SK Hynix shares surged by 12%, achieving an all-time high [1]. - The partnership contributed to a more than 3% increase in the KOSPI index, setting a new record [2]. Group 2: Strategic Partnership - The collaboration with OpenAI involves semiconductor procurement and the establishment of two data centres in South Korea, aimed at enhancing AI infrastructure [3]. - The new data centres will initially have a capacity of 20 megawatts, positioning Seoul as a potential AI hub in Asia [4]. Group 3: Market Dynamics - Concerns regarding falling prices of high bandwidth memory (HBM) chips due to competition are expected to be alleviated by the strategic partnership, with anticipated increased demand from the Stargate project [2]. - The global AI boom is driving strong semiconductor demand, contributing to a significant rise in South Korea's exports in September, the fastest in 14 months [5]. Group 4: Trade Relations - The partnership may positively influence South Korea's trade negotiations with the U.S., particularly in light of President Trump's $500 billion Stargate initiative [3]. - South Korea aims to formalize a preliminary trade deal with the U.S. by late October, which includes a $350 billion investment in the U.S. in exchange for reduced tariffs on South Korean imports [5].