Morgan Stanley Upgrades Micron (MU) to Overweight, Lifts PT to $220

Micron Technology, Inc. (NASDAQ:MU) is one of the best performing NASDAQ stocks according to hedge funds. On October 6, Morgan Stanley raised its price target for Micron stock from $160 to $220 and upgraded its rating to Overweight from Equalweight. The firm made this move because of momentum in core dynamic random-access memory (DRAM) pricing, which continues to exceed expectations.

Morgan Stanley noted that industry contacts believe DRAM supply may stay tight for several quarters, with DDR5 spot pricing already up 15% since Micron’s most recent guidance. Server memory (specifically, DDR5 server pricing) is expected to experience double-digit increases in both Q4 and Q1; Morgan Stanley views the current consensus estimates as “likely conservative.”

Micron Technology, Inc. (NASDAQ:MU) designs, develops, and manufactures memory and storage solutions used across data centers, mobile devices, consumer electronics, and automotive systems. Its operations are organized into four segments: Compute and Networking, Mobile, Embedded, and Storage. The company’s product portfolio includes DRAM, NAND flash, and NOR flash technologies.

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Disclosure: None. This article is originally published at Insider Monkey.