Driven by news of HBM4 price hikes, U.S. memory chip giant Micron Technology (MU.US) surged 8.93% to $237.5 on Wednesday (U.S. Eastern Time), hitting an all-time intraday high of $239.88.
According to Wind data, Micron's stock has soared 183.01% year-to-date, with a 52-week range between $61.44 and $237.62. The strong momentum in AI development has propelled the semiconductor company's shares to new heights.
On the news front, South Korean semiconductor leader SK Hynix announced on the 5th that it has finalized price and volume negotiations with NVIDIA for next year's HBM4 supply. Reports indicate SK Hynix secured favorable terms, with HBM4 prices exceeding those of current HBM3E by over 50%.
Micron's Q4 FY2025 earnings (ending August 28, 2025), released on September 24, revealed revenue of $11.32 billion, up 46% YoY, and gross margins reaching 45.7%, reflecting significant profitability growth. Management attributed the performance to ramping production of high-value data center products and broad pricing advantages for DRAM across end markets.
During the earnings call, Micron disclosed that combined revenue from HBM, high-capacity DIMMs, and low-power server DRAM hit $10 billion in FY2025, marking a fivefold increase from the previous year. The company also confirmed it recently sampled HBM4 products to clients and is actively negotiating specifications and purchase volumes, expecting agreements to be finalized in the coming months.
Amid rising shares of industry leaders and high expectations for HBM4 pricing, optimism about future demand growth in the memory sector is mounting. Micron forecasts DRAM bit demand growth in 2025 to reach high single-digit percentages. Citi analyst Christopher Danely predicts Q4 DRAM prices will rise 25% from Q3, marking the highest quarterly increase since the 1990s.
Growing demand for AI servers, AI-enabled smartphones, and AI devices is further driving memory needs. In data centers, beyond rising DRAM demand, AI servers are boosting requirements for HBM, including low-power DRAM and high-density DRAM modules. AI PCs and AI phones pushed by major manufacturers also present new opportunities for memory chipmakers.
On November 6, several domestic memory-related stocks also rallied. As of press time, Demingli (001309) surged 10%, Shannon Core (300475) gained over 9%, while Hangyu Micro (300053) and Jiangbolong (301308) followed the upward trend.
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