The post Morgan Stanley Stays Bullish on Micron (MU) and Sandisk After Memory Chip Selloff appeared on BitcoinEthereumNews.com.

Key Takeaways Memory chip stocks tumbled approximately 10% in recent weeks, with Micron and Sandisk each declining more than 10% following Google’s TurboQuant announcement Google’s new TurboQuant technology promises to cut AI memory requirements by a factor of six, triggering investor anxiety Morgan Stanley characterizes the recent decline as a constructive correction rather than a fundamental concern Memory capacity has emerged as the primary constraint for AI infrastructure expansion, surpassing GPU availability Morgan Stanley maintains Overweight recommendations on both Micron and Sandisk with $520 and $690 price objectives Morgan Stanley continues to back memory semiconductor manufacturers following a significant market downturn that shook investor confidence in late March. The iShares Semiconductor ETF experienced approximately a 10% decline during the past month. Multiple factors contributed to the downturn, including valuation concerns, questions about demand sustainability, and emerging AI innovations. On March 24, Google introduced a novel compression technology dubbed TurboQuant. The innovation reportedly slashes memory requirements for operating AI models by as much as six times. The announcement triggered widespread investor unease. Both Micron and Sandisk experienced declines exceeding 10% in the immediate aftermath of the disclosure. Micron finished trading at $357 on March 27, though the stock maintained a 25% gain for the year-to-date period. Micron Technology, Inc., MU Morgan Stanley’s Joseph Moore challenged the negative sentiment in a research communication distributed on March 26. Moore reaffirmed Overweight recommendations for both Micron and Sandisk. The firm’s price objectives remain unchanged at $520 and $690, respectively. According to Moore, the selloff represents “a healthy pricing in of durability concerns” instead of indicating a fundamental transformation in market dynamics. The financial institution contends that memory manufacturers’ business strength is “more durable than the market thinks.” Memory Capacity Emerges as Primary AI Infrastructure Constraint Throughout the previous two years, Nvidia’s graphics processing units…

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Filed under: News - @ March 29, 2026 10:16 am