The first piece of news is related to Intel. On Friday, local time, Intel’s stock price surged by 10% due to a positive announcement. A well-known technology analyst in the industry stated that the likelihood of Apple becoming a major customer for Intel has “significantly increased,” and it is expected that Intel will begin shipping Apple M-series chip processors.The second piece of news concerns Micron Technology, a giant in the memory chip sector. According to foreign media reports on the 29th, Micron Technology will invest 1.5 trillion yen (approximately $9.6 billion) to establish a factory in Japan to produce memory chips for artificial intelligence.
Intel Receives Major Good NewsIntel’s stock price rose by 10% on Friday, marking the largest single-day increase since September 18, with a total market value exceeding $190 billion. This year, the chip manufacturer’s stock price has increased by over 100% cumulatively.On the same day, TF International analyst Ming-Chi Kuo stated that the likelihood of Apple becoming a new customer for Intel has “significantly increased recently,” indicating that Intel may start shipping Apple processors as early as 2027. This represents a significant opportunity for Intel to regain important chip supply contracts after losing Apple’s Mac processor orders for years.Kuo added that for Intel, “winning Apple’s advanced node orders is far more significant than the direct revenue and profit contribution from this business.” He pointed out that although Intel will still be unable to compete directly with TSMC in the coming years, this indicates that the “most difficult period” for its foundry business may soon be over. For Apple, this move not only demonstrates support for the Trump administration’s “Made in America” policy but also meets the needs for supply chain diversification management.Kuo noted that Apple had previously signed a confidentiality agreement with Intel and obtained the PDK 0.9.1GA toolkit for the 18AP advanced process, with project progress meeting expectations. Apple is currently waiting for Intel’s planned release of PDK 1.0/1.1 in the first quarter of 2026. Apple plans to have Intel begin mass production of 18AP process products for the lowest-end M-series processors as early as the second to third quarter of 2027, but the final timeline will depend on the development progress after receiving PDK 1.0/1.1.It is reported that Apple’s standard M chips are mainly used in MacBook Air and iPad Pro, with an expected shipment volume of about 20 million units this year. Considering that a new MacBook Air equipped with “iPhone-level chips” is expected to be released next year, it may divert some orders. Therefore, the shipment volume of the lowest-end M-series chips in 2026 and 2027 is expected to be between 15 million and 20 million units.Looking ahead, Intel’s 14A process and subsequent nodes may receive more orders from Apple and other first-tier customers, thereby reversing its long-term outlook. Intel is committed to revitalizing the company under the leadership of its new CEO Pat Gelsinger, who took office in March this year, and has received support from the U.S. federal government.It is worth noting that this year, Intel has received significant investments. On August 18, SoftBank Group and Intel announced the signing of a final securities purchase agreement. According to the agreement, SoftBank will purchase Intel common stock at a price of $23 per share, with a total investment amount of $2 billion. On August 22, the U.S. government announced the acquisition of 433.3 million shares of Intel common stock at a price of $20.47 per share, accounting for 9.9% of the equity.In September, NVIDIA announced a $5 billion investment in Intel. At that time, NVIDIA and Intel announced a partnership, with the former acquiring Intel common stock at a price of $23.28 per share, totaling a $5 billion investment. Both parties stated in a joint announcement that they would jointly develop multiple generations of customized data center and personal computing products to accelerate the processing of various applications and workloads in large-scale computing, enterprise-level, and consumer markets.
Micron Technology Also Has RumorsAccording to Nikkei News, U.S. chip manufacturer Micron Technology will invest 1.5 trillion yen (approximately $9.6 billion) to establish a factory in western Japan to produce memory chips for artificial intelligence.Reports indicate that informed sources say this new factory will produce high-bandwidth memory (HBM) chips. Starting in May next year, Micron Technology will build this factory within its existing Hiroshima facility, with plans to begin HBM shipments around 2028. It is reported that Japan’s Ministry of Economy, Trade and Industry will provide up to 500 billion yen in subsidies for this project.On Friday, local time, Micron Technology’s stock price rose by 2.7%, with a market value of $265.8 billion. This year, the company’s stock price has increased by over 180%, making it one of the best-performing AI stocks.On November 24, Morgan Stanley reaffirmed its buy rating on Micron Technology and raised its target price from $325 to $338, while also raising the target price for SanDisk from $263 to $273. Analyst Joseph Moore stated that the memory market conditions are “continuing to improve,” with the tightest conditions being seen in DDR5 DRAM, and “there is already a sense of crisis in the market—no matter how high the price, products cannot be purchased.”
Morgan Stanley raised its earnings per share forecast for Micron Technology for the 2026 fiscal year by 15% and raised SanDisk by 20%. The firm believes that supply tightening and strong AI-driven demand mean that “there may be multiple upward revisions in the coming quarters.”
Recently, investment bank Rosenblatt raised its target price for Micron Technology from $250 to $300 and maintained its buy rating on the stock. Rosenblatt noted that demand for DRAM is increasing. However, it is expected that by 2026, the supply growth of DRAM will be limited. The research firm pointed out that demand for DRAM is increasing, driven by the need for high-bandwidth memory (HBM) for AI accelerators and AI models deployed at the network edge (including smartphones and PCs). The research institution observed that the price increase of DRAM and NAND is occurring faster than previously expected.Previously, Wells Fargo raised its target price for Micron Technology from $220 to $300 and maintained an overweight rating. This latest news came after a meeting with the company’s CEO Sanjay Mehrotra and Global Operations Executive Vice President Manish Bhatia. Wells Fargo noted that the meeting confirmed the company’s strong market position, robust execution, and positive outlook for the memory industry.Source: Securities China