Trading at 7x Earnings in an AI Boom? This Is the ‘Stupid Cheap’ Stock Your Financial Advisor Won’t Tell You About
Key takeaways
- The company achieved $6.9B in free cash flow last quarter, approved a 30% dividend increase, and has begun HBM4 volume shipments with multi-year customer contracts replacing the old one-year model.
- It sounds nuts, but SoFi is giving new active invest users up to $1,000 in stock for a limited time, and all it takes is a $50 deposit to get started.
- Micron just reported fiscal Q2 2026 revenue of $23.9 billion, up 196% year-over-year, with non-GAAP EPS of $12.20 and gross margins of 75%.
Trading at 7x Earnings in an AI Boom? This Is the ‘Stupid Cheap’ Stock Your Financial Advisor Won’t Tell You About Omor Ibne Ehsan Wed, May 27, 2026 at 12:14 AM GMT+7 5 min read AVGO SOFI MU NVDA Quick Read Micron (MU) reported fiscal Q2 2026 revenue of $23.9B, up 196% year-over-year, with Q3 guidance for $33.5B revenue and 81% gross margin, while trading at just 7x forward FY 2027 earnings compared to NVIDIA and Broadcom at 24x despite supplying the HBM memory critical to AI infrastructure. The company achieved $6.9B in free cash flow last quarter, approved a 30% dividend increase, and has begun HBM4 volume shipments with multi-year customer contracts replacing the old one-year model.
Micron’s AI memory dominance is protected by structural constraints: HBM chip manufacturing requires years of cleanroom build-out and construction, customers can only receive 50-66% of their demand in the medium term, and supply-demand stays tight through 2026, creating a supply-constrained environment unlike the 2018 memory downcycle.
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