Wall Street Piles Into Micron After a Blowout Quarter — Here's Who Raised Targets
A wave of Wall Street price-target hikes followed Micron's blowout fiscal Q4 report, with Rosenblatt setting a Street-high $1,900 target as analysts point to an AI memory "hypercycle," a secured 2027 revenue backlog, and blockbuster forward guidance.
Micron Technology ($MU) is seeing a wave of price-target hikes from Wall Street following its fiscal fourth-quarter 2026 earnings report, released September 30. The revisions followed a sizable beat on both revenue and earnings, blockbuster guidance for the current quarter, and what analysts are calling an AI-driven memory "hypercycle."
| Firm | Action | New Target | Prior |
|---|---|---|---|
| Rosenblatt | Raised, Buy | $1,900 | $1,500 |
| D.A. Davidson | Raised, Buy | $2,100 | $2,000 |
| Robert W. Baird | Raised | $1,520 | $1,280 |
| Cantor Fitzgerald | Reiterated Overweight | $2,000 | — |
| Mizuho | Raised, Outperform | $1,400 | $1,300 |
| Goldman Sachs | Raised, Neutral | $1,250 | $1,100 |
| Freedom Broker | Reaffirmed Buy | $1,600 | — |
| RBC Capital | Restated Outperform | $1,500 | — |
Per Benzinga, of 26 analysts tracked, 25 rate Micron a Buy, with an average target near $1,430 as of Oct. 1 — about 32% above that day's price.
The earnings beat behind the moves
Micron's fiscal Q4 revenue came in at $54.23 billion, up 379% year-over-year and well ahead of the roughly $51.1–51.5 billion analysts had expected. Adjusted EPS of $33.42 topped the roughly $31.8 billion–$31.9 consensus. Non-GAAP gross margin expanded to 87%, up from 84.9% the prior quarter.
Guidance went even further
Micron guided fiscal Q1 revenue to $60–$63 billion, well above the roughly $57.2–57.6 billion consensus, and EPS to $37.15–$39.15, also above prior Street estimates. Non-GAAP gross margin is expected to hold around 86.25% next quarter.
Why analysts are raising targets
An AI memory "hypercycle." Analysts point to surging demand for high-bandwidth memory (HBM) and advanced DRAM tied to data center and agentic AI buildouts, which they describe as creating multi-year structural tightness in supply.
A secured revenue backlog. More than 75% of Micron's projected fiscal 2027 output is reportedly already committed, giving the company unusual visibility into forward pricing and volume.
Decelerating bit growth, tighter supply. Rosenblatt noted it was surprised by management's outlook for industry DRAM bit growth to slow to the low-20% range in calendar 2027 and 2028, down from the mid-20% range this year — a dynamic the firm said reflects HBM's greater manufacturing complexity relative to conventional DRAM, and one that supports tighter supply rather than looser.
Capital spending rising with it. Rosenblatt also lifted its fiscal 2027 capital spending estimate for Micron to more than $50 billion, up from a prior $45 billion forecast, citing faster-than-expected cleanroom construction — while still projecting free cash flow above $10 billion for the year.
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