Analyst Timothy Arcuri from UBS maintained a Buy rating on Micron and keeping the price target at $275.00.
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Timothy Arcuri has given his Buy rating due to a combination of factors that highlight a favorable outlook for Micron. One of the primary reasons is the tightening supply conditions in the memory market, which are expected to persist through the end of 2026. This supply constraint is likely to support higher pricing, particularly in the DDR segment, where gross margins are projected to surpass those of HBM by early 2026. Arcuri notes that Micron’s management has indicated a shift away from pre-announcements, yet their statements suggest that the quarter’s performance is tracking above the company’s guidance.
Additionally, Arcuri’s analysis anticipates strong revenue growth driven by improved pricing across DRAM and NAND segments. The projected revenue and earnings per share for the first quarter of fiscal 2026 are significantly ahead of Micron’s guidance, supported by robust demand and favorable pricing dynamics. The analyst also highlights the structural durability of this cycle, as HBM technology is expected to dominate the memory market, with most capacity additions being allocated to it through 2027. This strategic positioning, along with anticipated government incentives, supports a positive long-term outlook for Micron, justifying the Buy rating.
In another report released on December 4, Mizuho Securities also reiterated a Buy rating on the stock with a $270.00 price target.