"Micron Technology ( ) has emerged as a key player in the artificial intelligence (AI) ecosystem through its high-bandwidth memory (HBM) chips, which provide the high-speed data processing essential for training large language models and running inference tasks. These chips enable AI accelerators from companies like Nvidia ( NASDAQ:NVDA ) to handle massive datasets efficiently, positioning MU as a vital supplier amid surging demand from data centers."
"A wave of upgrades has hit, including Morgan Stanley's shift to overweight with a price target hike from $160 to $220 per share, and Itau BBA Securities just initiating coverage with an outperform rating and a $249 per share target - near the high end of industry estimates. These follow boosts from firms like Rosenblatt, which raised its target to $250 per share, signaling broad recognition of MU's AI-fueled potential."
Micron Technology supplies high-bandwidth memory (HBM) chips that enable AI accelerators to process large datasets for training language models and running inference. Fiscal Q4 revenue reached $11.3 billion, up 46% year-over-year, with adjusted earnings of $3.03 per share and guidance for record Q1 2026 revenue of $12.5 billion. The stock fell more than 7% after the report despite strong results, followed by multiple analyst upgrades and higher price targets. HBM3E capacity had been fully booked through 2025, and the company expects stronger growth and profits from forthcoming HBM4 chips. The firm is shifting toward high-margin, high-performance memory for AI infrastructure, while cloud memory grew substantially even as data-center revenue declined.
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