Why is that? On CNBC's "Mad Dash" segment, TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, pointed to several analyst price target increases, notably at Deutsche Bank and Stifel.
These analysts are realizing the stock was oversold earlier this year and have future catalysts to push up the stock, Cramer said. He cited the HP Inc. (HPQ) - Get HP Inc. (HPQ) Report conference call, where management talked about increased demand in chips including DRAM and flash.
Micron sells both DRAM and flash and those have fixed costs, Cramer explained, meaning any increase in price falls right to the bottom line. That's why a boost in demand can give such a boost to the stock.
Marvell Technology (MRVL) - Get Marvell Technology Group Ltd. Report is another company that should benefit, Cramer said, adding that he likes that stock. Meanwhile, Corning (GLW) - Get Corning Inc Report is one company that will benefit from increased demand for glass, he said.
At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.