Micron Price Prediction: One Wall Street Analyst Thinks MU Has 16% More Upside In 2026

"We have completed agreements on price and volume for our entire calendar 2026 HBM supply, including Micron's industry-leading HBM4. The firm now models peak EPS of $50 to $60 per share and through-cycle EPS of $30 to $40 per share, a range that would represent a significant premium to current trading levels."

"Micron has sold out its entire 2026 HBM supply, with management projecting the HBM total addressable market to grow from approximately $35 billion in 2025 to around $100 billion in 2028. That structural demand visibility is the foundation of long-term compounding."

"Analysts have significantly raised price targets for Micron on expectations of substantial increases in DRAM and NAND pricing due to high demand for HBM and DDR5 for AI systems. Higher pricing flows directly to gross margin, which expanded from 38.4% a year ago to 56.0% in Q1 FY2026, with Q2 guidance pointing to 68.0% non-GAAP gross margin."

Micron Technology has delivered exceptional stock performance, gaining 323% over the past 12 months. Wells Fargo recently raised its price target to $470, above the Street consensus of $415.37, citing two main drivers: Micron's secured HBM4 order book for all of 2026 and an accelerating margin profile. The company projects peak EPS of $50-$60 per share and through-cycle EPS of $30-$40 per share. Key performance drivers include sold-out 2026 HBM supply with the HBM market expected to grow from $35 billion in 2025 to $100 billion by 2028, rising DRAM and NAND pricing from AI demand, and multiyear contracts with hyperscalers. Gross margins have expanded significantly from 38.4% to 56.0%, with Q2 guidance indicating 68.0% non-GAAP gross margin.

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