业绩超预期，目标价上调至750美元

EquitiesSemiconductors & Equipment Buy:Exceptionally strong 2Q and compelling growth outlook United States ◆Another earnings surprise in 2Q due to far strongermemoryASP,while soaring inferencingisleadingmemoryboom◆FY3Qgrowthto persist, withNANDthenext catalyst◆ReiterateBuywith new TP of USD750(from USD500),factoring inhigherearningsestimates MAINTAIN BUY Anotherearningssurprise inFY2Q:Micron released36%/30% higher FY2Qoperating profit thanHSBCe/Bloomberg consensus at USD16.5bn (+156% q-o-q,+720% y-o-y) with sales ofcUSD23bn (+75% q-o-q,+196%y-o-y) owing to far higherDRAM and NAND blended ASP at+66% and+78%, respectively.The companystarted to fullybenefit from 1)thecommodity DRAM price rallyamidrising servershipment andDRAMcontentsgrowthtocover rising inferencing demand,as well as2)theNAND price rallyfrom surgingenterprise SSD for serversand QLC basedNAND storage upgradedemandin cluster storage servers.Micronmentioned itisonlycurrentlycovering50-65% of customer demand andwillraise capex to expandcapacity faster to cope with surging demand. It is alsostretchingitsone-year longterm agreement (LTA) toafive-year strategic cooperation agreement (SCA) amidtherising importance of memory intheAI era. Stronger FY3Q and beyond.Factoring in FY2Q ASP andastronger pricing outlookfrom1) inventory restocking competition beforethenew NVIDIA(NVDA US,USD180.4, Buy)andAMD(AMD USD199.46, Buy)platform launches, 2) sourcing fornew projects amid rising CSP capex of60%y-o-y, and 3) robust server shipmentgrowth, we expectstrongprice risesin FY3Qof+30%q-o-q for DRAM and NAND,leading to43% q-o-q OP growth toUSD24bn,with sales of USD32bn (+34% q-o-q). NAND is the next catalyst,memoryinthe midpoint of a supercycle.Withbooming inference activities, NAND demand as aform of ICMSwillsoar, in our view.Improving response time in agentic/physical AI serviceswhile making less expensivetoken management is key, assuming 5-10%upsideinNANDdemand until CY27.With 16% market share,Micronshould be one ofthe key beneficiaries.Also, newadoption ofaSRAM-based LPUsolutionwilltriggera sharpincreaseinkey values,as it will lower cost per token and latency in agentic AI, supporting furtherproliferation.The memory market is at amidpoint similar to the 1990-95 supercycle,when office automation led to a DRAMshortage for six years:1) AI focus is shiftingtomemory (HBM, SO-CAMM2, ICMS)from GPU, amid soaring inference activities,2) CSPs will maintain aggressivecapexat60% y-o-ytosecure leadership in AI datacentres,3) limitedcapacityincrease until CY27 will lead totight supply-demand. Source:LSEGIBES, HSBC estimates Ricky Seo*Head of Korea Research, Semiconductor and Display The Hongkong and Shanghai Banking CorporationLimited, Seoul Securities Branch +82 2 3706 8777 Han Kil Chang*Research Analyst, Korea TechnologyThe Hongkong and Shanghai Banking CorporationLimited, Seoul Securities Branch +822 3706 8750 * Employed by a non-US affiliate of HSBC Securities (USA) Inc, and isnot registered/ qualified pursuant to FINRA regulations Reiterate Buy,newTP ofUSD750(fromUSD500):we raiseFY2026/27/28eOP by45%/73%/88%,putting us13%/25%/34%aboveconsensus, factoring inourstrongeroutlookfor memory pricing.Wecontinue toapplya3.0x 2013-15peakPBtoouraverageFY27/28e BVPStoderive a new TP of USD750.Key risks:1) higher USinterest rates as neo-CSPs and Open AIdependonfinancial investors;2) moreaggressive capacity expansion at memory makers,leadingto earlier peak out. HSBC Global Investment Summit 14 to 16 April 2026 Find out more Issuer of report:The Hongkong and ShanghaiBanking Corporation Limited, Seoul SecuritiesBranch Disclosures & DisclaimerThis report must be read with the disclosures and the analyst certifications in the Disclosure appendix, and with the Disclaimer, which forms part of it. View HSBC Global Investment Research at: Financials & valuation:Micron Technology Source:Company data, HSBC estimates Source:Company data, HSBC estimates Source:Company data, HSBC estimates Source:Company data, HSBC estimates Source:Company data, HSBC estimates, Note: Based on non-GAAP financials Source:Company data, HSBC estimates, Note: Based on non-GAAP financials Source:Company data, HSBC estimates Source: Company data, HSBCestimates New AI server structure of NVIDIA UpcyclesDetails(1) 1990-1995Personal computer (PC) boom,widespread adoption of PC per household leading to growth in DRAM demand(2) 1998-2000Strong replacement demand from the 'Y2K' crisis, leading to even stronger PC replacement investment(3) 2002-2006Demand for downloadable services spiked with thehelp of slim notebook demand from LCD, release of iPod, and development of legacy cell phones(4) 2009-2010Launch of the world's first smartphone, and start of a new era in mobile application demand(5) 2012-2015Prolonged upcycle due to sudden supply reduction from major fire incident in SK Hynix's China facilities(6) 2016-2018Widespread adoption of streaming services leading to accelerated investment to cl