Shares of Micron Technology (MU) surged approximately 8.5% Thursday morning, reaching around $152, marking the company’s most significant increase since April, when shares had a remarkable rise of about 19%. This latest uptick positions Micron for a record closing.
The notable rise in stock price is attributed to an upgrade by Citi analyst Christopher Danely, who raised his price target for Micron from $150 to $175, while maintaining a Buy rating on the stock. Micron is a leading manufacturer of memory chips that are critical components in both AI data centers and consumer electronics. Its products, including various types of memory chips, are integral to major technology companies such as Nvidia, which uses them in its graphics processing units (GPUs), and Apple, which incorporates them in its iPhones.
Danely expressed confidence in Micron’s performance, forecasting that the company will report fourth-quarter results aligning with Wall Street expectations during the earnings call scheduled for September 23. He anticipates that Micron will provide guidance for first-quarter revenue that exceeds consensus estimates. Specifically, Danely projects revenue of $13 billion for the first quarter of the 2026 fiscal year, compared to analysts’ expectations of $11.8 billion. He also expects earnings per share guidance of $3.23, higher than the Bloomberg consensus estimate of $2.98.
Danely attributes the ongoing memory market resurgence to constrained production capabilities coupled with stronger-than-anticipated demand, particularly from the data center segment. He highlighted a recent increase in orders linked to the AI sector, underscoring the growing significance of memory chips in enabling advancements in artificial intelligence technologies.
