12 Best Long-term Stocks to Invest in for High Returns

2) Micron Technology, Inc. (NASDAQ:MU)

Average Upside Potential: 57.1%

Number of Hedge Fund Holders: 107

Micron Technology, Inc. (NASDAQ:MU) is engaged in designing, developing, manufacturing, and selling memory and storage products. J.P. Morgan analyst Harlan Sur has maintained a bullish stance on the company’s stock, providing a “Buy” rating on January 7. The analyst’s rating is backed by a combination of factors, suggesting a promising outlook for Micron Technology, Inc. (NASDAQ:MU)’s stock. The company continues to benefit from a favorable demand environment fueled by AI, with robust expectations for growth in HBM and eSSD segments, aided by improvement in supply and demand dynamics in the broader market.

As per the analyst, the positive trend is expected to result in substantial revenue generation in FY25, primarily in the data center segment, where Micron Technology, Inc. (NASDAQ:MU) has been capitalizing on its technology leadership and customer partnerships. Also, the company’s strategic focus on high-margin products like HBM, and the efforts to improve production yields, can enhance Micron Technology, Inc. (NASDAQ:MU)’s gross margins and facilitate sustained margin expansion, says Sur.

Overall, Micron Technology, Inc. (NASDAQ:MU)’s prudent capital expenditure strategy, mainly in expanding DRAM and HBM capacity while managing NAND investments, strengthens its growth prospects. With the demand trends for AI and high-performance computing becoming favourable, HBM continues to become increasingly critical. Micron Technology, Inc. (NASDAQ:MU)’s ability to secure key customers in the AI space strengthens its position and can result in long-term partnerships which can drive consistent demand for its high-value memory solutions.