How High Will MU Stock Go After $1 Trillion? UBS Tripled Price Target
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How excessive will MU inventory go is, proper now, the query each investor following Micron Expertise is asking. On Might 26, 2026, UBS analyst Timothy Arcuri raised his Micron worth goal from $535 to a Avenue-high $1,625, a 204% revision that topped each different name among the many 46 companies protecting the inventory. Shares surged roughly 19% to shut close to $896 that very same day, and likewise crossed the $1 trillion market cap mark for the very first time. The MU inventory forecast has by no means regarded this bullish within the firm’s historical past, and likewise not this contested.
Mu Inventory Forecast: Micron Value Goal 2026 Outlook, $1T Surge
Why UBS Set A $1,625 Micron Value Goal
The UBS improve was primarily based on round 15 occasions next-twelve-months P/E on calendar 2029 earnings per share of $117, discounted again one 12 months. HBM common promoting worth assumptions had been additionally revised upward — UBS now fashions a 50% year-over-year enhance in HBM ASP per gigabyte, up from a previous estimate of 35%. The agency additionally famous that as much as 30% of DDR volumes industry-wide may very well be locked in at pricing barely beneath present spot ranges via long-term agreements, which is seen as a structural flooring, not a ceiling.
Arcuri additionally put the MU inventory forecast in direct comparability with Nvidia when requested how excessive will MU inventory go relative to friends. He acknowledged:
“No purpose why MU ought to commerce an entire lot in a different way than NVDA when it comes to P/E.”
Mizuho analyst Vijay Rakesh, who reiterated an Outperform on the identical day, additionally weighed in on the provision image:
“No clear line of sight on when the supply-demand imbalance might finish.”
HBM Offered Out — How Excessive Will MU Inventory Go In 2026 Relies upon On It
Micron is one in all solely three corporations on the earth capable of manufacture excessive bandwidth reminiscence at scale, alongside Samsung and SK Hynix. How excessive will MU inventory go in 2026 is tied on to how lengthy that provide scarcity holds, and in the mean time there isn’t a signal of it easing. CEO Sanjay Mehrotra confirmed the state of affairs on the Q1 FY2026 earnings name:
“We’ve accomplished agreements on worth and quantity for our total calendar 2026 HBM provide, together with Micron’s industry-leading HBM4.”
Mehrotra has additionally been clear about the place demand goes, noting that AI wants “extra reminiscence and sooner efficiency reminiscence with every era.” The info heart HBM market stood at round $35 billion in 2025, and Micron tasks it might attain $100 billion yearly by 2028. Q2 FY2026 income got here in at $23.9 billion, up 196% 12 months over 12 months, the corporate’s fourth consecutive quarterly income file. Administration additionally guided Q3 FY2026 income at $33.5 billion and raised the dividend 30%.
The Danger That Nonetheless Follows the Micron Inventory $1 Trillion Story
How excessive will MU inventory go additionally is determined by a danger that has adopted reminiscence shares for many years. The identical tight provide situations driving the present MU inventory forecast greater have traditionally reversed exhausting as soon as new capability catches up with demand. Micron is spending closely, with capital expenditures set to prime $25 billion this fiscal 12 months, and administration plans one other enhance for the following, as new fabs go up throughout a number of nations.
UBS’s Arcuri believes the earnings profile is extra sturdy this cycle. He tasks EPS exceeding $100 from 2027 to 2029 and over $400 billion in cumulative free money move throughout that interval. The market has not but examined whether or not the micron inventory $1 trillion valuation holds via a possible downcycle. Micron additionally reviews subsequent earnings in June, and traders will probably be watching carefully for affirmation that long-term buyer contracts are holding and that rising capability from Samsung and SK Hynix just isn’t but softening the provision tightness on the heart of this run.