Freedom: Micron shares may continue rising as Apple switches to U.S.-made chips

Shares of memory chipmaker Micron Technology (MU) rose on August 17 after a statement by U.S. Secretary of Commerce Howard Lutnick that the authorities oppose Apple buying memory chips from Chinese manufacturers. During the session, Micron shares were up as much as 6%. The rally also lifted other memory makers: SanDisk shares jumped 9.2%, while U.S. depositary receipts of South Korea’s SK Hynix gained about 7%. 

Micron Technology is a U.S. manufacturer of memory chips and data storage systems. The company’s products are used in smartphones, computers, servers and data centers, including infrastructure for artificial intelligence.

Freedom analyst Natalia Milchakova believes Micron’s share gains are tied to expectations of a possible reallocation of Apple orders in favor of U.S. manufacturers. If the company really abandons Chinese suppliers and increases purchases from Micron, this could become an additional source of demand for its products. However, without an actual change in the supply chain, the effect of the U.S. authorities’ statement may prove short-lived.

Why U.S. authorities spoke out against Apple purchases in China

The catalyst for the stock’s rise was an interview U.S. Secretary of Commerce Howard Lutnick gave to The Wall Street Journal. He said the Donald Trump administration does not support potential Apple purchases of memory chips from Chinese manufacturers and has already conveyed this position to the company. 

Apple is considering various supply options amid a memory chip shortage. In particular, the company explored the possibility of working with China’s CXMT and Yangtze Memory Technologies for devices sold in China. At the same time, Apple COO Sabih Khan did not confirm that Chinese chips were being tested, noting only the need to consider different options against the backdrop of the shortage. 

Freedom analyst Natalia Milchakova links Washington’s stance primarily to protectionist policy— the government’s desire to protect the domestic market and support national producers from foreign competition. In her view, the U.S. is interested in maintaining strict restrictions on Chinese high-tech products, as China remains one of the country’s main competitors in the global semiconductor market.

How Apple’s отказ from Chinese chips could affect Micron

High demand from companies building data centers for artificial intelligence has already led to shortages and rising prices for memory chips. Because of this, electronics makers, including Apple, are forced to look for additional sources of supply. 

For Micron, limiting Chinese manufacturers’ access to major U.S. customers potentially reduces competitive pressure. If Apple increases purchases from U.S. suppliers, Micron could receive additional orders and strengthen its position in the domestic market.

According to Freedom analyst Natalia Milchakova, this scenario is what could support further growth in the company’s shares. However, a political statement alone is not enough: if no actual reallocation of orders in favor of U.S. manufacturers occurs, Micron’s current share-price gains may quickly run out of steam.

AI demand supports Micron’s business

Interest in Micron began growing long before the latest statements from U.S. authorities. In September 2025, the company exceeded market forecasts for revenue and profit. Revenue for the fourth fiscal quarter rose from $7.75 billion to $11.32 billion, while profit reached $3.20 billion versus $887 million a year earlier. The company also issued a sales forecast for the next quarter above analysts’ expectations. 

One of the main drivers was rising demand for high-bandwidth memory. Such chips enable fast transfer of large volumes of data and are used in powerful computing systems for training and running artificial intelligence. Data center expansion has boosted demand for this Micron product. 

Morgan Stanley analysts had previously also noted positive prospects for the memory market. In October 2025, the bank raised its rating on Micron shares to “overweight” and increased its price target from $160 to $220. Analysts expected double-digit memory price growth over several quarters, which, in their view, should materially improve the company’s profitability. 

Not an individual investment recommendation.