Overview
- Micron shares rose about 7.5% in early trading on Friday, January 2, after Bernstein’s Mark Li raised his price target to $330 with an Outperform rating.
- Bernstein forecasts a 20% to 25% sequential increase in DRAM prices in Micron’s fiscal Q2 and expects pricing strength to continue through 2026.
- Micron’s mid-December report showed revenue of $13.6 billion and EPS of $4.60, with guidance for about $18.7 billion in fiscal Q2 revenue and roughly 67% gross margins.
- Analysts point to AI-fueled data-center demand outpacing capacity additions, as new cleanroom space and fab expansions take time to bring online.
- Peer stocks climbed alongside Micron, with storage and memory names advancing as investors bet on tight supply and sustained demand across DRAM, NAND and HBM.