Micron, SanDisk Shares Rallying as Sterne Agee Reporting on Rumor of Fire at Hynix Wuxi Fab Plant

Shares of both Micron MU and SanDisk SNDK are trading sharply higher in pre-market action Wednesday morning following some bullish comments from Sterne Agee's Vijay Rakesh. Micron shares are trading up more than 7 percent while shares of SanDisk are up 3.4 percent at last check. Rakesh noted "some unconfirmed news this morning with pictures from a China website of smoke at the Hynix's Wuxi China fab." The analyst reiterated the unconfirmed status of the report, however said "we believe it could move Pricing in the NAND-DRAM markets as we believe the Wuxi Fab does DRAM as well as some NAND." Sterne Agee currently rates both Micron and SanDisk at Buy. He has an $18 price target on Micron and a $72 target on SanDisk.