JPM analyzes sustainability of hyperscaler AI capital expenditure and memory demand, presenting bullish and bearish scenarios across five key debates including AI capex viability, memory budget allocation, HBM specifications, long-term agreements, and China competition. JPM leans bullish on memory demand through FY28 with robust hyperscaler investment, though expects moderating ASP growth and views China as a structural but near-term limited threat due to technology gaps.
Micron ($MU) reports earnings on September 30 with strong guidance expected; analyst consensus targets $1,564 per share, implying 50% upside from current trading levels. Separately, enterprise SSD demand is surging due to agentic AI and KV cache offload applications, while consumer NAND faces oversupply, creating divergent market dynamics.