4 Stocks That Could Soar Under Trump’s New Tariffs (From The Financial Newsletter)

Micron Joins Latest $200 Billion United States Investment

One of the major benefits, and perhaps one missed by most economists, of the recently implemented trade tariffs by President Trump is the onshoring of new investment capital. The reason is that, as globalization itself is being put on the back burner due to rising trade costs, companies are now more incentivized to start manufacturing their products within the United States.

The technology sector is no exception to this broader theme, as evidenced by the actions taken by leaders in the semiconductor and chipmaking industries. With some of the biggest names in the space laying out multi-billion-dollar investments to onshore their production plants in the United States, they will not only mitigate (or even eliminate) these tariff costs but also position themselves favorably with the government for future benefits.

Understanding the new wave of upside and potential investments that will improve the industry's odds, investors should consider adding Micron Technology Inc. (NASDAQ: MU) to their portfolios moving forward. Not only because of how left behind it is compared to peers in the industry but also because of a recent decision to join in the initiative to onshore production capacity in the United States.

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Micron’s Decision Crystalizes New Upside Potential

Seeing the overall sector start to invest in onshoring semiconductor manufacturing in the United States, Micron management didn’t want to be left out of the massive opportunity that might come from more capital following suit. This is why the company decided to invest up to $200 billion in this project.

Other companies following similar strategies include Taiwan Semiconductor Manufacturing (NYSE: TSM) and NVIDIA Corporation (NASDAQ: NVDA), so it might be a reasonable expectation to see Micron start trading similarly to these other peers in the space.

When it comes to price action, NVIDIA and Taiwan Semiconductor are closing in on their 52-week highs, and if no other geopolitical developments stand in the way, they should be able to break into fresh new highs as well. By comparison, Micron stock currently trades at 74% of its 52-week high, creating a significant gap to be filled.

Of course, gaps are simply that—gaps—and there must be a reasonable justification (a catalyst) in place to move the stock sufficiently to close any outstanding gaps. In this case, the new investment in United States chipmaking factories might be one of them. However, this is still up to speculation, and investors might want to check further gauges.

Wall Street’s Take on Micron Stock

While this new decision hasn’t been incorporated into the company’s financial models yet, given its recent nature, it seems that some market participants were already laying expectations for something like this to happen. Over the past month, Micron stock saw up to 6.4% of its short interest closed out.

This is a clear sign of bearish capitulation even ahead of the announcement, which might be accelerated once the news spreads out into other corners of the market to drive further retreats from the bears. Another take can be seen in the way Wall Street analysts see the stock today.

As of early June 2025, Citigroup analyst Christopher Danely reiterated his Buy rating on Micron stock, also placing a valuation of up to $130 per share on it. Compared to today’s low prices, this valuation would imply as much as 12% additional upside.

Seeing the heavily skewed risk-to-reward ratio present in Micron stock, institutional investors couldn’t let this opportunity blow past them either. As of the most recent quarter, up to $2.6 billion worth of institutional buying took place for Micron stock, which is on top of the previous quarter's figure of $7.8 billion.

Of course, there are also other significant drivers in the stock’s underlying fundamentals, such as earnings per share (EPS) forecasts by Wall Street analysts. As of today, these forecasts expect Micron stock to report up to $2.04 in EPS for the fourth quarter of 2025.

Compared to today’s reported EPS of $1.56, there is a potential jump of 30.8% between today’s price and Micron stock's future upside potential. If any further conflicts arise from the trade tariff negotiations between the United States and China or other geopolitical escalations, the current setup will appear increasingly attractive for investors.

Written by Gabriel Osorio-Mazilli

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