Micron Technology has sold out its high-bandwidth memory capacity through 2026, fulfilling only 50% to 66% of customer demand. The company guides second quarter fiscal 2026 revenue to $18.7 billion, up 132% year-over-year, trading at 9.6x forward earnings versus 25x sector average despite 70% projected annual earnings growth. Micron is positioned to power the expansion of AI data centers, with high-bandwidth memory capacity sold out through 2026.

Micron’s inventory constraints highlight its market leverage in high-bandwidth memory, supporting higher pricing and margins. The company redirects resources to meet AI demand, targeting approximately 20% shipment growth in both DRAM and NAND this year. Micron is investing in new facilities to boost future capacity, backed by over $6 billion in funding.

Micron trades at 34 times trailing earnings, under 10 times estimates, with analysts forecasting 70% annual earnings growth over the next five years. Consensus estimates predict full-year fiscal 2026 earnings per share at $32.67, with next-year estimates at $41.54 per share. Micron’s forward price-to-earnings ratio of 9.6 is far lower than the sector average of 25x, reflecting its undervaluation amid the memory supercycle.

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Read more at Yahoo Finance: Is Micron Technology the Cheapest AI Stock?