Micron, the Boise, Idaho-based memory chip maker, has captured Wall Street’s heart. Whether the love affair endures will heavily depend on how long the AI-driven supply crunch for memory chips lasts.

Micron promises that it has shored up its position for the long term, which would allow it to withstand a sudden drop in demand or overcapacity of supply. And Wall Street has become a believer, helping Micron briefly surpass the market valuation of Meta and Tesla for the first time on Thursday, though it floated back down by Friday to nearly match them.

Specifically Micron closed Friday’s trading with a market cap close to $1.27 trillion, while Meta was at $1.39 trillion and Tesla was at $1.42 trillion. Micron’s stock has soared over 236% in the past month alone, closing Friday at $1,132 a share. In comparison, it spent years upon years before mid-2025 at below $100 a share.

It’s a dizzying rise for a company that most consumers associated with the tiny memory cards that, back in the day, were commonly needed to boost PCs, smartphones, or other device storage.

Wall Street isn’t sweating over that product line. Micron is benefiting from the AI data center buildout boom that has created a shortage of system memory chips, both DRAM and NAND, which Micron makes, particularly High-Bandwidth Memory (HBM). A single AI server requires magnitudes more memory than a laptop.

AI system makers like Nvidia, as well as the hyperscalers building their own systems, are buying up large quantities of memory, such as Microsoft, Amazon AWS, Google, Meta and Oracle. This is forcing all the other companies who need memory to hoard it as well, from PC makers like Dell and HP, to other kinds of device makers.

This lack of supply, which has been dubbed RAMageddon, is predicted to persist into 2027. And it’s already driving up the price of consumer electronics like Apple products and Xbox consoles.

With the whole tech industry clamoring for more memory, Micron’s delivered blockbuster third-quarter earnings last week. Revenue quadrupled year-over-year to $41.45 billion, and profits skyrocketed from $1.88 billion to $28.2 billion over the same period. Micron also provided a positive outlook, forecasting fourth-quarter revenue of between $49 billion and $51 billion.

And Wall Street, which has been eager to find more public AI-related companies that may do as well as Nvidia, became even more enamored.

The historic problem for memory chip makers like Micron and Samsung is that building out manufacturing facilities to increase capacity is a time-consuming, expensive endeavor. And demand often falls just as companies can increase capacity, creating a glut and subsequent price drop.

Micron got ahead of any AI bust chatter by emphasizing a series of long-term supply agreements, including with Nvidia and AI lab Anthropic, that would presumably protect it. The company said in its earnings presentation that it has signed 16 strategic customer agreements across the data center, consumer, and auto market segments, which it expects to fundamentally transform its business model.

That seemed to convince a number of analysts that this company could be another long-term, profitable investment. In a research note, William Blair tech analyst Sebastien Naji noted demand growth continues to outpace the rate that new cleanroom space can come online.

“Given the strong likelihood of continued ASP growth in the coming quarters and improving revenue visibility thanks to a rapidly expanding set of long-term agreements (SCAs) with key customers, we see potential for more durable earnings growth and reiterate our Outperform rating,” Naji wrote.

Whether Micron really can sustain itself for long-term without a bust cycle remains to be seen. But for a brief moment on Thursday, this U.S. company was more valuable than some of the industry’s giants.