Citi Predicts Diverging Outlook for US Chip Stocks: Bullish on Micron, Bearish on Qualcomm

On July 6, Citi analysts stated in a research report: "Given that DRAM chip prices are expected to rise in the second half of 2026, we have placed Micron Technology on our 'upward catalyst' watch list; meanwhile, due to weak smartphone sales growth, we have included Qualcomm on our 'downward catalyst' watch list." The analysts noted: "Fundamentally, demand for artificial intelligence computing remains in a state of supply-demand imbalance, as evidenced by the recent 20% increase in AWS EC2 GPU prices. The shortage of DRAM is currently the biggest constraint on computing power supply."