Micron Technology (MU) Up By 36% After Jim Cramer Said It Was “Insanely Cheap”

We recently published Jim Cramer’s 20 Bold AI Predictions – See How They Played Out! Micron Technology, Inc. (NASDAQ:MU) is one of the stocks Jim Cramer recently discussed.

Micron Technology, Inc. (NASDAQ:MU) is one of the largest memory chip manufacturers in the world, whose products are key for AI GPUs. As a result, the shares have gained 35% year-to-date. They are up by 36% since Cramer’s September comments after having crashed by 27% during April’s DeepSeek selloff and soaring by 17% in August. Micron Technology, Inc. (NASDAQ:MU)’s shares rose in August after the firm increased its fiscal fourth quarter guidance. The shares have also struggled recently due to the firm’s CHIPS Act grants, which have been criticized by President Trump. Here is what Cramer said about Micron Technology, Inc. (NASDAQ:MU):

“Micron Technology Inc. (NASDAQ:MU) is now in its 2025 fiscal year, where it’s expected to earn $9.59, with that number growing to nearly $13 the following year. In other words, Micron Technology Inc. (NASDAQ:MU) is trading at less than 7 times next year’s fiscal earnings estimates. That’s insanely cheap—but remember, that often means people don’t believe in the estimates. That’s how it gets to seven times. I understand that, but I think the estimates are okay.”

However, recently, Cramer advised viewers to wait when it came to Micron Technology, Inc. (NASDAQ:MU). Here is what he said:

“Okay, the problem that’s happened, and it’s very technical here, but they make a particular chip called a DRAM, and the DRAM pricing has been going down. And that’s what this stock trades with… not with the semiconductors, but with actual DRAM pricing. Until DRAM pricing stabilizes a little bit more, I’m going to say we have to wait. I wish I could be more aggressive because I happen to think that Sanjay Mehrotra is a terrific CEO, but it’s a commodity, not unlike, in some degree, oil. Now it… [has] this high bandwidth division that is very good for data centers, but it’s not enough to be able to move the needle, and that’s why I am waiting on the sidelines, Micron.”

While we acknowledge the potential of MU as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.