The Micron inventory value goal was raised to $1,300 from $1,150 by Citi analyst Atif Malik, who stored a purchase ranking on Micron Know-how (MU) as DRAM costs surged greater than 60% and reminiscence provide stayed tight. The brand new MU inventory goal Citi set implies about 21% upside from the most recent shut, including to a bullish Micron inventory forecast. Micron inventory immediately sits at $1,071.88, so for anybody asking will MU inventory go up, the analyst math factors increased on the time of writing, with the Road common goal at $1,515.
Micron Inventory Forecast: MU Inventory Goal Citi, Costs and Outlook
Micron Inventory Right now Pulls Again After a Sturdy Week
Micron inventory closed at $1,071.88 on September 23, down $24.28 or 2.22%, and it slipped one other 0.81% to $1,063.25 in in a single day buying and selling. MU was nonetheless up 15.69% over 5 days. Shares are additionally up about 277% yr up to now, and the brand new Micron inventory value goal sits roughly $228 above the most recent shut.
Why Citi Raised Its Micron Inventory Worth Goal
Malik raised his August and November quarter estimates after DRAM pricing got here in stronger than he had modeled. He expects a rally into SEMICON West as gear makers spotlight DRAM shortages, and sees upside to fiscal This autumn estimates with DRAM and NAND nonetheless undersupplied.
Micron CEO Sanjay Mehrotra mentioned this on the fiscal Q3 earnings name:
“DRAM and NAND business demand continues to considerably exceed business provide. We count on tight situations to persist past calendar 2027 on account of AI-driven demand throughout all segments coupled with structural provide constraints.”
In fiscal Q3, DRAM costs rose within the low 60s share vary and NAND costs within the mid-80s. The upper Micron inventory value goal was constructed on that pricing.
Will MU Inventory Go Up From Right here?
Fiscal Q3 2026 income reached $41.46 billion, up 345.7% yr over yr, with non-GAAP EPS of $25.11 and a report non-GAAP gross margin of 84.9%. Fiscal This autumn steerage requires income of $50 billion, plus or minus $1 billion, and EPS of $31, plus or minus $1.
Micron has additionally signed 16 Strategic Buyer Agreements, principally five-year take-or-pay offers by means of calendar 2030. For 14 of them, cumulative income on the minimal value is roughly $100 billion, backed by $22 billion in money deposits and letters of credit score. Mehrotra said this within the fiscal Q3 earnings launch:
“Micron’s report fiscal Q3 monetary outcomes and even stronger outlook for This autumn replicate the strategic worth of reminiscence within the AI period. Micron is investing at report ranges in know-how, merchandise and provide to deal with our clients’ quickly rising demand. We imagine our multi-year Strategic Buyer Agreements will considerably improve the sturdiness and predictability of Micron’s sturdy monetary efficiency.”
MU trades at a trailing PE of 23 and a ahead PE of simply 7, and consensus fiscal 2027 EPS has climbed to $156.53 from $117.86 ninety days in the past. The MU inventory goal Citi now holds sits under the Road imply, which retains the Micron inventory forecast pointed up if pricing holds.
Nonetheless, pullbacks can come quick after a triple-digit rally. So, will MU inventory go up? Undersupply, locked-in contracts and rising estimates all level that means proper now, which is why the Micron inventory value goal retains transferring increased.
