Michael Burry and Jim Cramer aren't the first two investors you'd expect to agree on a stock, but their disagreement over Micron Technology (MU -0.66%) is particularly interesting.

Burry, the investor made famous by The Big Short, recently closed his outright short position in Micron and replaced it with put options. Cramer, meanwhile, warns that investors betting against the memory chip maker are "digging their own grave."

After Micron's latest earnings report, I think Burry's bet faces a particularly difficult obstacle: the company he's betting against doesn't look much like the highly cyclical memory business investors became exhausted by over the last several decades.

Micron's bull case extends well beyond AI data centers. High-bandwidth memory (HBM) and advanced DRAM is increasingly needed across different pockets of AI infrastructure -- from autonomous vehicles, aerospace and defense, medical technology, industrial applications, and even humanoid robotics.

Moreover, the company has signed 26 strategic customer agreements and more than 75% of its expected 2027 output is already committed. Remaining performance obligations (RPO) have climbed to roughly $150 billion.

Lastly, Micron finished fiscal 2026 with $68.3 billion in net cash and generated $62.3 billion of adjusted free cash flow for the year. However, the company only repurchased $650 million of stock. Management is planning to return 100% of excess cash to shareholders over time, primarily through share repurchases. That authorization could create a powerful new source of demand for Micron shares.

Of course, today's premium prices for memory and 80%-plus profit margins won't last forever. AI infrastructure spending could slow, while new manufacturing capacity should eventually balance supply and demand. After Micron's spectacular rally, expectations are undeniably high. Although Burry could ultimately be right that another memory cycle is coming, I see a problem with his clock.

His June 2027 puts do not give the bear thesis several years to materialize. Meanwhile, Micron is telling investors that supply is going to remain tight through fiscal 2027 and 2028 while simultaneously forecasting higher revenue, signing multi-year supply agreements, expanding into new AI markets, and preparing to deploy enormous cash toward buybacks. That's a lot to bet against over the next eight months. I think Micron's record revenue, enormous contracted demand, new AI use cases, and upcoming share repurchases suggest the stock is a screaming buy right now