Brokerage firm Needham has raised Micron Technology’s (MU) price target to $300 from $200, citing a tightening memory market and higher DRAM and NAND pricing.
The new PT implies about a 27% upside to the stock’s last price.
The brokerage reiterated its “Buy” rating and raised FY 2026 and FY 2027 revenue and earnings estimates as demand is expected to exceed supply through 2026, adding that business conditions strengthened meaningfully in Q1 FY 2026, supported by robust data center demand driven by hyperscaler and neocloud capital spending.
The analysts added that Micron’s HBM3E and HBM4 capacity is sold out for 2026, with high-bandwidth memory carrying margins above corporate and DRAM averages, highlighting sharp increases in spot pricing.
Average DRAM spot prices are also up 162% Q/Q and NAND spot prices up 34% Q/Q in Q1, which Needham expects to feed into higher contract pricing.
Needham added that customers are seeking multiyear supply agreements and expects Micron to raise FY 2026 net capital expenditure above prior guidance, modeling $20 billion.
According to Seeking Alpha’s Quant rating system, Micron is rated a “strong buy” with a score of 4.99 out of 5.
Micron is set to report its results for the first quarter on Wednesday, with consensus estimates calling for EPS of $3.93 on revenue of $12.87 billion.