Micron Technology Inc (NASDAQ:MU) stock is trading higher Wednesday after Morgan Stanley reiterated its Overweight rating and boosted its price target from $350 to $450. Here’s what you should know.
Why Micron Is Moving Higher
Analyst Joseph Moore pointed to continued DRAM price strength and persistent supply shortages as the main reasons behind the improved outlook, Investing.com reported.
Morgan Stanley noted that mainstream DRAM prices could double again and still remain more than 10% below current spot levels, which continue to trend upward. Contract pricing has already climbed 86% since December, and the firm says buyers who waited too long to secure inventory are now paying close to high teens ASP per GB.
What Else Is Driving Sentiment?
Micron is also preparing to announce a new investment in memory‑chip manufacturing capacity in Singapore, focused on NAND flash production, signaling that the company expects long‑term demand to remain strong, according to the report.
What Do Other Analysts Think About Micron?
Micron Technology has recently received favorable ratings from several analysts, with most maintaining an optimistic outlook. Similarly to Morgan Stanley’s rating, Mizuho kept its Outperform rating, increasing the target from $390 to $480 on Jan. 27.
Other significant rating actions include William Blair initiating coverage with an Outperform rating on Jan. 22. In addition, TD Cowen and Stifel both maintained their Buy ratings on Jan. 20. TD Cowen set a new target of $450, up from $300, while Stifel raised its target from $300 to $360. This indicates a strong consensus among analysts for Micron Technology’s positive performance.
MU Price Action: Micron shares were up 8.20% at $403.90 at the time of publication on Wednesday, according to Benzinga Pro.
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