Micron Technology (MU) received a major vote of confidence from Morgan Stanley after the firm raised its price target to $325, the highest on Wall Street, from $220 and maintained a Buy rating on the stock. The new price target implies upside potential of 32%. Top analyst Joseph Moore also named Micron a “Top Pick,” saying the company is entering a rare surge in memory pricing that could push earnings to new highs.
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Why Morgan Stanley Is So Bullish
Morgan Stanley upgraded Micron only a month ago, but Moore said the company’s outlook has improved even more as memory prices keep rising due to strong demand and limited supply. He noted that DDR5 — a newer type of computer memory used in servers and AI systems — has now seen its spot prices triple, similar to the big memory jumps seen in the 1990s.
Moore expects DDR5 prices to rise again over the next two quarters. With demand still strong and supply tight, he believes Micron will continue to benefit from these higher prices.
The analyst also said that HBM is still a key part of Micron’s AI strategy. Moore expects Micron to stay competitive in the HBM4 market and maintain strong demand when the next chips arrive.
Building on this view, Morgan Stanley expects Micron’s earnings to rise quickly over the next year as memory prices stay strong. It now forecasts more than $25 per share in earnings for 2026, which is well above current market estimates.
Is Micron a Good Stock to Buy?
Micron stock has a consensus Strong Buy rating among 30 Wall Street analysts. That rating is based on 27 Buy and three Hold recommendations assigned in the last three months. The average MU price target of $225.36 implies 7.98% downside from current levels.
