Micron price target raised to $535 from $510 at UBS

UBS raised the firm’s price target on Micron (MU) to $535 from $510 and keeps a Buy rating on the shares. Despite sentiment around memory that has “turned very negative” post Micron’s gross margin guidance, the firm says its latest industry checks point to continued strengthening in pricing for both DRAM and NAND and it continues to believe the market is in the midst of a super-cycle that will “likely defy traditional analytical norms for the stock.” Growing evidence that memory companies are willingly trading some near-term upside for longer-term visibility and by extension, more stable earnings, margins, and ROE across the cycle, strengthens the firm’s conviction in the durability of this upcycle, the analyst added.