Cramer Says Micron Can Double Again on $100 Billion Contracts as AI Demand Tightens Memory
Updated
Updated · Yahoo Finance · Aug 18
Cramer Says Micron Can Double Again on $100 Billion Contracts as AI Demand Tightens Memory
3 articles · Updated · Yahoo Finance · Aug 18
Summary
Micron could still double before the memory boom ends, Jim Cramer said Monday, arguing the trade remains attractive unless data-center spending slows.
About $100 billion in Micron minimum-price contracts underpins that call, with 16 strategic customer agreements covering roughly 20% of DRAM volume and one-third of NAND volume.
AI demand is the other pillar: Cramer pointed to Elon Musk's comments that memory is the key bottleneck for AI data-center growth.
Memory stocks have already surged, highlighting both momentum and risk—Micron rose 4.1% Monday and 254.7% year to date, while SanDisk is up 652.7% this year.
Cramer argues this cycle differs from past memory booms because producers are favoring buybacks and build-to-suit supply deals over aggressive capacity expansion that once led to price collapses.