Forget Samsung, Micron Technology Is a Better Memory Chip Stock

Market prices for NAND and DRAM memory chips tumbled over the past two years, due to a global supply glut, soft demand for PCs and mobile devices, and macro headwinds. Those declines dented shares of leading memory chipmakers like Samsung Electronics (OTC: SSNLF) and Micron (NASDAQ: MU).

However, NAND prices gradually stabilized in the second half of 2019, and many analysts expect DRAM prices to recover next year. That warmer outlook boosted shares of Samsung and Micron about 30% and 50%, respectively, this year.

Samsung might seem like a better play on the memory chip market's cyclical rebound than Micron since it's the largest manufacturer of NAND and DRAM chips in the world. Micron ranks fourth in the NAND market and third in the DRAM market, according to TrendForce's DRAMeXchange. But today, I'll explain why Micron is a better overall investment on the memory market's recovery.

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Source Fool.com