03:32 PM EDT, 09/24/2025 (MT Newswires) -- Micron Technology ( MU ) could face "meaningful" share and pricing pressures ahead amid potential competition in the high bandwidth memory, or HBM, space with South Korea's Samsung, BofA Securities said in a note e-mailed Wednesday.

Late Tuesday, Micron's fiscal fourth-quarter results surpassed Wall Street's estimates as the US semiconductor maker's cloud memory revenue more than tripled year over year. HBM revenue rose to approximately $2 billion, implying an annualized run rate of around $8 billion, driven by the ramp of HBM3E products.

Heading into its new fiscal year, the company is positioned "better than ever" on the back of robust HBM performance, Chief Executive Sanjay Mehrotra said in remarks prepared for an earnings call. "Our HBM share is on track to grow again."

"While (Micron) has secured pricing agreements for the majority of its HBM supplies into (2026), we note Samsung's entry could put meaningful share/pricing pressure medium/longer-term," BofA analyst Vivek Arya said in a note to clients.

Shares of Micron were down 2.7% in Wednesday late-afternoon trade. The stock has surged about 93% so far this year.

Samsung's 12-layer HBM3E product recently cleared US chipmaking giant Nvidia's ( NVDA ) qualification tests, paving the way for its use in the artificial intelligence accelerators key to the training of AI models, news outlets reported.

BofA raised its price objective on the Micron stock to $180 from $140, but reiterated its neutral rating, citing a "largely unchanged" HBM trajectory and the looming competition with Samsung.

For the ongoing quarter, Micron expects adjusted earnings of $3.75 a share, plus or minus $0.15. Revenue is pegged at $12.50 billion, plus or minus $300 million. The consensus on FactSet is for non-GAAP EPS of $3.69 and sales of $12.43 billion. The outlook reflects "new records" for EPS and revenue, Mehrotra said.

"(Micron) is benefitting from the dual-drivers of surging AI demand and the memory industry's (abnormal) supply discipline that has pushed up pricing in traditional and new markets," Arya said. "There is an underappreciated resurgence in traditional server (central processing unit) sales driven by agentic AI and in high-capacity solid state drives used in AI clusters."

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