Micron Stock Rockets as AI Memory Supercycle Takes Hold

Micron ( (MU) ) has risen by 29.55%. Read on to learn why.

Micron’s stock extended its blistering run this week, jumping another 29.55% as investors piled into one of the biggest winners of the AI hardware boom. The memory-chip maker has seen demand for its high‑bandwidth memory (HBM) and advanced DRAM surge as AI data centers and servers require far more memory than traditional systems. Tight industry supply is also driving memory prices higher, giving Micron a powerful earnings tailwind that has pushed the shares to fresh record highs.

Wall Street remains broadly upbeat on Micron’s long‑term prospects, even as the stock now trades above the average analyst price target. Mizuho’s Vijay Rakesh recently lifted his target to $740, citing expectations for Micron’s revenue and earnings to jump sharply by fiscal 2027 on continued AI‑related memory demand and a HBM market he sees topping $100 billion by 2028. D.A. Davidson’s Dan Waggoner is even more optimistic, arguing that the AI boom has created a longer‑than‑usual memory upcycle and setting a $1,000 price target, while some investors, like Sarfatti Investment Research, see room for the stock to eventually re‑rate toward $1,500.

Several concrete catalysts underpin this week’s 29.55% move. Micron’s HBM capacity is already sold out through 2026, reinforcing the idea of a multi‑year “supercycle” rather than a short‑term spike. Analysts also note that memory prices are rising faster than expected and could remain elevated into 2027, while Micron is bolstering its AI footprint with new products, such as the 245TB Micron 6600 ION, billed as the world’s highest‑capacity SSD for AI and cloud data centers. Together, these factors have convinced many investors that Micron is becoming a core AI infrastructure play, even if its rally has run ahead of consensus targets for now.