Serenity: The AI industry chain is strengthening demand-supply lock-in; market adjustments may be driven by deleveraging rather than worsening demand

PANews July 17 news: “White-haired stock messiah” Serenity posted that today Micron ($MU) announced it has signed a long-term memory supply agreement with Qualcomm ($QCOM), but the market reaction was somewhat unexpected, and Micron’s share price then fell 5.37%.

Serenity believes that amid the continued signing of long-term supply agreements across the AI industry chain to lock in future demand, memory and AI-related stocks themselves have not shown any obvious signs of fundamental deterioration. The recent sector adjustment is more likely the knock-on effects triggered by the process of deleveraging in the market and margin-pressure, rather than a reversal in AI demand or storage industry trends.

Serenity noted that as AI infrastructure continues to advance, upstream and downstream participants in the industry chain are strengthening supply assurance through long-term agreements. Near-term market volatility may reflect more fund flows and valuation adjustments, rather than changes to the long-term growth logic.