Micron Technology (MU) stock has been under pressure lately, with shares falling sharply as selling picked up across the chip sector. On Monday, March 30, the stock dropped nearly 10% to close at $321.80. It is now down about 32% from its recent high of $471.34, reached just two weeks ago. Even after this sharp fall, some analysts believe the long-term story is still strong.
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Explore NVDS for 2X short leverage on NVDAThe most bullish view comes from Cantor Fitzgerald’s five-star analyst C. J. Muse, who has set a Street-high price target of $700. This suggests the stock could more than double, with about 117% upside from current levels.
What’s Triggering the Downfall?
The recent drop in Micron is mainly driven by rising investor concerns. A new AI memory-compression method from Google (GOOGL) has raised fears that future demand for memory chips could slow, leading to heavy selling in the stock.
At the same time, Micron’s $25 billion spending plan has added to the pressure. While the investment is aimed at supporting AI growth, some investors worry about the high costs and the risk of oversupply.
Together, these factors have pushed the stock lower as the market turns cautious.
Top Analyst’s Take on MU Stock
Muse’s positive view is based on Micron’s growing role in the AI market.
First, Micron has already sold out its supply of high-bandwidth memory (HBM) for 2026. These chips are used in advanced AI systems, including those linked to Nvidia (NVDA).
Second, the company is expecting very strong margins. It has guided for gross margins of around 81% for the next quarter, which is high for a hardware company.
Finally, tight supply gives Micron strong pricing power. This means it can keep prices firm even if the stock market remains volatile.
What Lies Ahead for Micron Stock
While the stock’s 32% slide from its peak is painful for short-term holders, Wall Street’s Strong Buy consensus remains largely intact. The gap between the current $321 price and the $700 target has created what Muse calls a “stay long and strong” opportunity.
Investors are now focused on the next quarterly update to see if Micron can deliver on its massive $19.15 EPS guidance.
Is Micron Stock a Buy, Sell, or Hold?
With 26 Buys and two Holds, Wall Street has a Strong Buy consensus rating on Micron Technology stock. The average MU stock price target of $536.55 indicates about 66.73% upside potential from current levels.
