Trump Calls Micron One of the World’s “Hottest” Companies a Day After Nvidia Disclosed $279 Billion in Supplier Commitments
Trump praised Micron as one of the world's hottest companies the day after Nvidia revealed a staggering jump in memory purchase commitments, and the timing raises questions about who stands to benefit most from an AI-driven memory squeeze that insiders…
On Wednesday afternoon at 2:31 PM, President Trump wrote on Truth Social that Micron Technology (NASDAQ:MU | MU Price Prediction) was “one of the ‘HOTTEST’ Companies in the World” and congratulated CEO Sanjay Mehrotra.
On Tuesday evening, NVIDIA (NASDAQ:NVDA) filed its fiscal second quarter results and disclosed supplier purchase commitments had jumped to $279 billion, from $119 billion the prior quarter, primarily for memory procurement tied to Vera Rubin production.
What NVIDIA Disclosed
NVIDIA’s Q2 fiscal 2027 revenue reached $96.22 billion, up 105.85% year over year, with Data Center revenue of $89.02 billion. Purchase obligations sit at $279 billion, with a separate $108.5 billion in guarantee obligations for AI cloud and data center partners.
CFO Colette Kress stated: “we are experiencing extreme pricing conditions in memory. The magnitude of the price increase has exceeded our prior expectations and are headed even higher into next year.” She added that “Memory scarcity today is being driven in large part by the AI build-out itself” and that NVIDIA has “longstanding, deep relationships with all three major memory suppliers.” Fiscal 2028 will be supply constrained, with growth of roughly 70% against customer forecasts that “point to our growth doubling next year.” Gross margins bottom at 71% to 72% in Q4 before settling at 72% to 73% in fiscal 2028.
What Trump Praised
Trump’s post celebrated Micron’s $10 billion AI memory research lab, announced in Boise, Idaho, on Aug. 20, 2026, a week prior. He described it as “just announced” and paired it with Micron’s $250 billion US manufacturing commitment through 2035, which targets 40% of DRAM produced domestically and projects 140,000 jobs across New York, Idaho and Virginia. Mehrotra credited Trump’s “leadership and policies,” calling it “the Trump effect.”
Trump’s Micron Holdings
Per 2025 financial disclosures, Trump held between $1.67 million and $6.65 million in Micron stock and purchased an additional $215,000 to $550,000 in March 2026. In late June 2026, Micron announced a $250 million donation to the Trump Accounts program, after which Trump praised the company on Truth Social on July 2, 2026.
Market Reaction
Despite an overnight pop after NVIDIA’s disclosure, Micron closed Wednesday at $935.39, down on the session. Year to date it is up 227.94%; over the past week, down 4%. Western Digital (NASDAQ:WDC) fell about 4% while SK Hynix rose roughly 1%. NVIDIA closed at $227.98. The pullback reflects profit-taking after the stock rose from roughly $117.56 a year ago.
Underlying Story Behind the Memory Squeeze
Micron’s fiscal Q3 revenue was $41.46 billion, up 345.72% year over year, with GAAP gross margin of 84.6%. Fiscal Q4 guidance calls for $50.0 billion in revenue. According to reporting from Seoul Economic Daily and Tech Times on Aug. 27, HBM production consumes three to four times the wafer area per gigabyte of standard DRAM, and TSMC’s CoWoS packaging capacity is maxed out with NVIDIA consuming roughly 60%. Kress said supply generally remains a bottleneck “at least through the end of fiscal year 28.”
Readers watching the next earnings cycle should track one number: whether Micron’s Strategic Customer Agreements convert NVIDIA’s supply commitments into locked-in gross margin, or whether hyperscaler capex, projected at nearly $800 billion in 2026, buys out the queue before Micron can price the next tranche. Our related coverage lives here.
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AJ has spent the past 10 years writing about financial markets at The Motley Fool. His coverage centers on technology stocks and the broader macroeconomic trends, from interest rates to geopolitics, that shape where markets are headed next. AJ is drawn to the stories where big-picture economics and individual companies collide.
