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Original headline: Micron Stock Keeps Sliding but Musk Says It’s Making a ‘Smart Move’
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- Micron Stock Falls Again but Musk Says It’s Making a ‘Smart Move’ on Memory
- Elon Musk Says Micron Is Making a 'Smart Move' on Memory. Micron Stock Falls Anyway.
- 'Smart move': What Elon Musk had to say about Micron
Yahoo Finance's Brian Sozzi discusses SpaceX CEO Elon Musk's post on X praising Micron for being reasonable on future memory prices while others have been extortionate. Sozzi speculates Micron may be offering favorable pricing to Musk's companies, including SpaceX, Tesla and Boring Company, which could mean lower profits for Micron given the memory chip shortage. He links this to Goldman Sachs' view that memory chip price growth may slow next year and that prices may already be near a peak.
- The Stock Market Is Making a Move That Warren Buffett Has Warned About. Here's What History Says Comes Next.
Warren Buffett warned in 2001 that when the ratio of total market capitalization to GDP approaches 200%, investors are playing with fire, and the so-called Buffett indicator has now topped 237%, the highest ever recorded. Twice before, the indicator neared that level and the market fell sharply: after peaking around 190% in 2000, the S&P 500 dropped roughly 37% from its high and took nearly six years to fully recover. The article notes the indicator is not a perfect timing tool, since the S&P 500 kept rising for months after the 2000 signal and has climbed significantly since the indicator crossed 200% in 2025. It says Buffett has not panicked, as Berkshire Hathaway still holds heavy equity positions despite trimming some, and it keeps ample cash for future opportunities. The author suggests this time may be different, and a historic crash is not a foregone conclusion.
- The real reason Elon Musk is making a big bet on wireless broadband
SpaceX (SPCX) is moving into the telecom market, and the article says it throttled many wireless carriers including AT&T, T-Mobile and Verizon last week, leaving their shares slow to recover. The view that Starlink will quickly crush these carriers is unrealistic, since building a wireless network would likely cost hundreds of billions of dollars. Pivotal Research argues the deeper reason is that this push helps fund a private mesh network for Tesla's cyber cabs, robots and other devices, with each added fixed Starlink customer making that mesh denser. The host suggests Musk wants control over his own broadband capacity and must buy spectrum to support a future of millions of robots and cyber cabs.
- Elon Musk Just Gave Investors Another Reason to Buy Micron Stock
Elon Musk praised Micron for being 'reasonable' on future memory prices while calling other suppliers 'extortionate', saying customers will remember how they were treated during the memory shortage. The article links this to Micron's multiyear strategic customer agreements: 26 agreements covering at least 35% of projected revenue through 2030, with $150 billion in remaining performance obligations. These deals give Micron more demand visibility and may reduce its exposure to the sector's cyclical pricing swings, while its gross margin is materially higher than Nvidia, Broadcom and Taiwan Semiconductor. Wall Street expects about $176 in EPS for fiscal 2027, and with shares near $938 on Oct. 14, the forward P/E is about 5.3. The author argues the stock may be undervalued and that customer loyalty could support growth beyond the current memory cycle.
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Marvell shares rose 6% to $241.27 in afternoon trading after a reported delay in Google's next TPU chip, while Broadcom gained 3%. GF Securities analyst Jeff Pu said the delay does not change Marvell's medium- to long-term position in Google's chip supply chain. Marvell reported Q2 FY2027 revenue of $2.74 billion, up 36.5% YoY, with its Data Center segment at $2.17 billion, or 79% of revenue. Google can acquire up to 7% of Marvell shares under a warrant tied to revenue targets, and management expects its custom business to more than double in fiscal 2028. Q3 revenue guidance is $3.15 billion, plus or minus 5%, with non-GAAP gross margin of 57.5% to 58.5%, and the article notes Marvell still needs to convert its Google programs into reported revenue.
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