Micron is a top pick: the only US high-bandwidth memory maker, with contracts reserving most HBM until 2027; the memory deficit is expected to worsen in 2027 and 2028, as memory is no longer cyclical. Despite being valued over a trillion dollars, it trades at only six times future earnings.

helped me find excellent stocks like Nvidia, TSMC, and Micron years before the rest of the market.

with other great companies such as Broadcom, Micron, AMD, Palantir and Lam Research, all in the top ten .

For example, Micron was the top-rated semiconductor stock in the Quantum System last October, even though it had already more than doubled that year.

The team chose it not only because of artificial intelligence, but also as a diversified investment in memory across the automotive, industrial, and mobile phone sectors. Micron's stock has risen by more than 400% since then.

Another thing all these companies have in common is their reliance on other companies for memory. The speed of AI chips depends on the speed of the memory they support. High-bandwidth memory is one of the biggest bottlenecks in building artificial intelligence today.

Almost all high-bandwidth memory on the planet is made by just three companies. Of those companies, Micron is the only one headquartered in the United States . Micron already has contracts that reserve most of its high-bandwidth memory until 2027 at much higher prices.

They expect the memory deficit to worsen in 2027 and 2028 as demand for artificial intelligence continues to increase. This is why AI companies sign multi-year contracts and pay upfront for memory chips that have not yet been manufactured.

Micron has $32 billion in customer liabilities, most of which are cash deposits. As I've been saying for the past two years, memory is no longer a cyclical commodity.

In the last quarter, Micron's revenue reached $54 billion , nearly 5 times year-over-year, with gross profit margins of 87%. Although Micron is valued at over a trillion dollars today, it still trades at only six times its future earnings.

So, while Wall Street analysts argue about which chip is the fastest, TSMC and Micron are reaping the profits either way .