Memory chip supply glut expected in 1-1.5 years; margin collapse to 10-20% drives MU price to $300.

In addition, we saw Micron reporting good earnings across the board, beating revenue and earnings expectations and guiding higher. But that stock is not rallying mainly because everyone expected a beat and it wasn't a big enough beat to push the stock even higher in the near term.

Now, listen, I haven't really talked yet about Micron. We've got to look at Micron, even though the move is not massive. Let's take a look at that right now. Here's Micron on earnings.

Initially, it flushed, then it popped, then it flushed, then it popped, then it flushed, and and you can see essentially it didn't do a whole lot once it settled down. It is slightly lower, but we're talking about basically 1% lower or less.

And if we go to the daily chart, I was eyeing a flush to buy here on this longer term daily trend line or a short at gap fill. You're not I'm not going to get either opportunity today.

It's literally not moving enough to even think about as a day trade. I mean, maybe if it drops to 10:15, this gap fill down here, maybe there'll be a day trade opportunity to go long on Micron.

But aside from that, I'm going to sit out of it and just wait patiently while we keep an eye on other names.

Now, one of the top stories that I thought was interesting is is that the CEO of Micron said that he wasn't sure when the essentially new software or I should say new chips, new memory chips from factories will come online.

And I think that was a little concerning. So, they beat on earnings, they beat on revenue, they raised guidance. But when you have the CEO saying he's not sure about when a lot of new chips are going to flood the market and drive margins down, that kind of makes people a little bit nervous.

And I think that's partially what's going on here.

Remember in 2025 we saw we heard Deepseek had a model from China that already did this and all these stocks sold off 30 to 50%. Now, I'm not saying that's going to happen now, but I'm my point is is that the technology will advance where we need less storage and less memory and new factories coming online.

I predict within a year, year and a half, we will see a glut of memory chips on the market to the point where margins collapse down to 10 to 20% from the 80% that they're with.

With that, Micron probably eventually within a year and a half is down to $300 a share. I know that sounds scary, but um it likely will happen.