American chipmaker Micron (MU) rallied to a new 52-week high of $365.81 on Friday, January 16, fueled by several key catalysts. First, the company broke ground on a massive $100 billion semiconductor manufacturing plant in upstate New York. Additionally, Director Liu Teyin M purchased 23,200 common shares on January 13-14 as seen in a Form 4 filing.
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Moreover, Micron signed a letter of intent (LOI) to purchase a fabrication plant from Taiwan’s Powerchip Semiconductor Manufacturing Corp., with the news officially released on Saturday, January 17.
Micron Stock Movement
Over the past year, MU shares have skyrocketed more than 231%, with a particularly sharp rally toward the end of 2025. This surge stems from robust demand for Micron’s high-bandwidth memory (HBM) and DRAM (Dynamic Random Access Memory) chips, driven by artificial intelligence (AI) applications.
Consistent quarterly earnings beats, improving profitability, and rising global memory prices have further propelled the stock.
Micron Targets Chip Manufacturing Expansion
The AI boom has created a shortage of memory chips for data centers and hyperscalers, resulting in rising prices. Micron aims to expand its manufacturing footprint through the Taiwan fab acquisition and the new New York facility. Micron executives describe their Onondaga County facility near Syracuse as the largest semiconductor plant in the US. It is slated to be fully operational by 2030 and create 50,000 jobs in New York state.
The deal with Taiwan’s Powerchip Corp is expected to close in the second half of 2026, subject to certain conditions. Micron plans to increase DRAM production at the site in phases, with wafer supply ramping up meaningfully in late 2027. The new plant is located near Micron’s existing Taiwan operations, aimed at boosting long-term efficiency. Micron and Powerchip will also collaborate on chip assembly following wafer production, and Micron will aid Powerchip’s legacy DRAM products during the transition.
Is Micron a Good Stock to Buy Now?
On TipRanks, Micron stock has a Strong Buy consensus rating based on 25 Buys and one Hold rating. The average Micron price target of $363.77 implies that shares are almost fully valued at current levels.
