Micron Technology gets Buy rating and $1,000 target from D.A. Davidson
Updated
Updated · Barron's · May 1
Micron Technology gets Buy rating and $1,000 target from D.A. Davidson
12 articles · Updated · Barron's · May 1
Micron shares recently traded near $540, up almost 600% in a year, while the firm said earnings could rise tenfold through August 2027.
D.A. Davidson cited Micron's memory node leadership and a longer AI-driven demand cycle, with shortages and hyperscaler data-centre spending reinforcing demand for chips and memory.
The report also linked Micron's rally to a wider AI-fuelled surge in older tech names including Seagate, Intel, Dell and HPE, as semiconductor earnings forecasts keep rising.
With memory supply sold out years ahead and AI chips driving half of semiconductor revenue, what happens if AI demand suddenly slows post-2027?
Could the explosive AI-driven growth in chips and memory create a dangerous bubble or is this a true technological revolution?
As data centers strain power grids and water supplies, how can the industry balance AI expansion with environmental and community concerns?
D.A. Davidson’s Bold $1,000 Call on Micron: AI Memory Supercycle Reshaping Valuation and Growth
Overview
D.A. Davidson initiated coverage on Micron Technology in May 2026 with a bold $1,000 price target, driven by AI's transformative impact on the memory market. AI workloads are creating a self-reinforcing demand loop, boosting memory prices and driving Micron's record revenues and margins. Micron's strategic customer agreements provide revenue stability, while its leadership in advanced memory technologies and rapid HBM market share growth support strong near-term demand. Despite a 560% stock rally, valuation debates persist due to risks like industry-wide capacity expansion and emerging memory compression technologies. The outlook hinges on whether AI-driven demand can sustain growth and offset traditional memory cycle volatility.