Quilter Cheviot strategist Ben Barringer said Micron Technology's very strong
results suggest the traditionally cyclical memory-chip market is becoming more
reliable. Results confirm demand still outstrips supply. Crucially, Micron's
shift to long-term customer contracts is providing steadier earnings and
reducing exposure to sharp demand swings; the deals effectively set price floors
and ceilings and include take-or-pay commitments, smoothing a historically
volatile market.
