Micron Technology Inc. experienced a significant surge in its stock value Thursday morning, with shares climbing approximately 8.5% to around $152. This marks the chipmaker’s most substantial increase since April, when the stock jumped nearly 19%. The latest gains have positioned Micron for a potential record closing price.
The boost in stock price follows an upgrade from Citi analyst Christopher Danely, who raised his price target for Micron shares from $150 to $175 while maintaining a Buy recommendation. Danely cited strong prospects for the company as it continues to manufacture memory chips utilized in artificial intelligence (AI) data centers and consumer electronics. Notably, these chips are critical components for major tech products, including Nvidia’s graphics processing units (GPUs) and Apple’s iPhones.
Danely expressed optimism surrounding Micron’s upcoming fourth-quarter results, expected to align with Wall Street projections by September 23. He anticipates the company will also provide a revenue forecast for the first quarter of its 2026 fiscal year that exceeds current consensus estimates. Specifically, he expects Micron to guide for first-quarter revenue of approximately $13 billion, while analysts surveyed by Bloomberg predict $11.8 billion.
Additionally, Danely expects the company to outline earnings per share guidance of $3.23, surpassing the Bloomberg consensus estimate of $2.98. He attributed the favorable outlook to a continuing memory chip market upturn driven by constrained production and stronger-than-anticipated demand, particularly from the data center sector. Danely also highlighted a recent uptick in orders sparked by interest in AI technologies.
As Micron continues to navigate a robust market landscape, investors are keenly focused on the firm’s performance and forecasts in light of this renewed investor enthusiasm.
