Memory stocks have hit a malaise. Jay Woods believes it's a buying opportunity
Today we focus on of the most exciting and profitable sectors of 2026: DRAM.
TL;DR
- DRAM is identified as an exciting and profitable sector for 2026, vital for AI infrastructure.
- Top components in the DRAM sector are reporting record profits and large backlogs.
- Samsung recorded record third-quarter profits, but the market reaction was indifferent.
- Following a strong start to the year, memory stocks have experienced a recent downturn, which is seen as an opportunity.
- The DRAM sector ETF, launched on April 2nd, saw an initial surge of 211% before retreating.
- Technical indicators like AVWAP and the 50-day moving average suggest a bullish outlook and support levels for the DRAM ETF.
- Micron is highlighted as a top-performing stock within the S&P 500, up over 270% year-to-date in 2026, but has consolidated since May.
- Jay Woods, Chief Market Strategist at Freedom Capital Markets, believes the current situation presents a buying opportunity.
- Potential upside targets for Micron are $63, with a break above potentially leading to the low $70s.