Micron Technology Boosts Target Price to $185 by JP Morgan Amid Rising Confidence

JP Morgan analyst Harlan Sur raised Micron Technology's (MU) target price to $185.00, a 12.12% increase. Micron is a leading semiconductor company specializing in memory and storage chips. Analysts forecast an average target price of $144.05 with a high estimate of $200.00 and a low estimate of $86.00, representing a 12.94% upside from the current price. The estimated GF Value is $172.45, indicating a 35.21% upside from the current price.

JPMorgan analyst Harlan Sur has raised Micron Technology's (MU) stock price target to $185.00, a significant 12.12% increase from the previous target of $165.00. The Overweight rating reflects the company's positive preannouncement of its August quarter results and robust financial performance. Micron, a leading semiconductor company specializing in memory and storage chips, has demonstrated remarkable momentum, with a 13.44% gain in the past week alone.

The semiconductor manufacturer reported an upside in revenues, gross margins, and earnings per share, driven by an improved pricing environment, particularly in DRAM across AI/datacenter, smartphone, and PC markets. This performance aligns with InvestingPro's analysis, which highlights Micron’s impressive 58.22% revenue growth and strong gross profit margin of 37.13%. Consistent bit shipment trends have addressed concerns that the upside might be driven by tariff-related pull-forward demand.

Strong DDR5 spot pricing improvements in the first half of this year have translated to better contract pricing in the second half, while the HBM trade ratio is creating a supply squeeze for the non-AI portion of the market. This has led to upside pricing pressure in Micron’s DDR5 and LPDDR5 products. JPMorgan noted that Micron’s HBM demand trends remain robust with strong visibility and AI capital expenditure spending through calendar year 2026. The company has made progress with customers and expects to sell out its HBM supply for 2026, including HBM3e (mostly 12-Hi) and HBM4 products.

The financial firm highlighted Micron’s execution in its HBM3e 12-Hi yield ramp, which has been faster than the 8-Hi ramp and has already achieved crossover in volume, positioning the company for continued improvement in gross margin and earnings power in 2025 and into 2026. This operational excellence is reflected in Micron’s strong financial metrics, with analysts expecting continued sales growth and net income expansion this year, according to InvestingPro’s comprehensive analysis of over 100 financial metrics.

In other recent news, Micron Technology has made headlines with its revised fiscal fourth-quarter outlook, projecting revenue of approximately $11.2 billion, up from previous estimates of $10.7 billion. The company also raised its earnings per share guidance to $2.85, surpassing earlier projections. This improved outlook has been attributed to stronger-than-expected performance in DRAM and NAND Flash pricing. UBS reaffirmed its Buy rating and set a price target of $155, citing the company’s enhanced financial outlook. Similarly, Mizuho increased its price target to $155, maintaining an Outperform rating. Meanwhile, BofA Securities kept its Neutral rating and $140 price target, acknowledging the broad-based strength in memory chip pricing. Barclays (LON:BARC) also maintained an Overweight rating with a $140 target, noting improved pricing and execution. Rosenblatt Securities reiterated its Buy rating with a $200 price target, highlighting Micron’s strong pre-announced results. These developments reflect a positive shift in Micron’s financial performance and market perception.

Analysts forecast an average target price of $144.05 with a high estimate of $200.00 and a low estimate of $86.00, representing a 12.94% upside from the current price. The estimated GF Value is $172.45, indicating a 35.21% upside from the current price.

References:
[1] https://ca.investing.com/news/analyst-ratings/jpmorgan-raises-micron-stock-price-target-to-185-on-improved-pricing-93CH-4151635
[2] https://www.investing.com/news/analyst-ratings/micron-stock-price-target-maintained-at-140-by-bofa-despite-raised-outlook-93CH-4183980
[3] https://www.investing.com/news/analyst-ratings/micron-stock-price-target-raised-to-155-from-150-at-mizuho-on-improved-pricing-93CH-4183608
[4] https://www.tipranks.com/stocks/mu/forecast