Micron Technology, Inc. (NASDAQ: MU) is having an incredibly strong start to the trading session this morning, but if you go digging for SEC filings or press releases, you won’t find any. So, what’s the deal? We believe that we’ve found the reason for the gains. Today, we’ll talk about:
- Why MU is headed up;
- what we’re seeing from the stock; and
- what we’ll be watching for ahead.
Here’s Why MU Is Gaining
As mentioned above, Micron Technology is having a strong start to the trading session this monring, but hasn’t released any news. Nonetheless, we believe that there is a very good reason for the gains.
It has to do with a recent announcement from MU and Qualcomm (QCOM) that it has partnered with Qualcomm Technologies, a subsidary of QCOM. Under the terms of the partnership, the two agreed to jointly develop solutions for in-vehicle cockpit controls in autonomous vehicles.
Under the terms of the partnership, Qualcomm will use the LPDDR4X memory device developed by MU to build the next generation Snapdragon Automotive Cockpit Platforms. The company will also test Micron energy solutions to be integrated into the cockpit platforms to enhance the overall customer experience. This is where the catalyst comes in.
The Snapdragon Automotive Cockpit Platforms will be demonstrated during the Consumer Electronic Show 2019. The show is currently ongoing and will come to an end on January 11. Of course, this presentation will outline, not just the Snapdragon Automotive Cockpit Platforms, but the LPDDR4X memory devices that make the platform possible.
Currently, MU LPDDR4X memory devices range between 2 Gb and 16 Gb and have throughput rates of up to 546 Gb per second to support high resolution 3D graphic displays. The devices are also heavy with bandwidth, providing the tools needed to operate the compute-intensive platforms that are used in advanced driver-assistance systems like the Snapdragon Automotive Cockpit Platforms.
What We’re Seeing From The Stock
One of the first things that we learn when we start to invest is that it’s important to follow the news. After all, the news leads to moves in the market. When it comes to Micron Technology, the news is proving to be positive. After all, the company’s products are being used in a high-tech automotive cockpit platform and being presented, likely as we speak. So, it’s not surprising to see that excited investors are pushing the stock up in the market today. At the moment (11:12), MU is trading at $35.56 per share after a gain of $1.82 per share or 5.39% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the iWatch Markets team will continue to keep a close eye on MU. In particular, we’re interested in following the story surrounding the company’s continued work to further engrain itself in the autonomous driving space. We’re also interested in following the memory chip industry as a whole. With the recent carneage seen in the industry along with the fall of cryptocurrency and other challenges, we believe that 2019 may be the start of a strong year. That is, should trade tensions between China and the United States die down. Nonetheless, we’ll continue to keep a close eye on the news and bring it to you as it breaks!
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