Stifel Sees Upside for Micron (MU) Ahead of June 25 Earnings Report

Micron Technology, Inc. (NASDAQ:MU) is one of the 10 AI Stocks in the Spotlight. On June 20, Stifel analyst Brian Chin reiterated a “Buy” rating on the stock with a $130.00 price target.

With Micron scheduled to report its fiscal third-quarter earnings on June 25, Stifel is optimistic that it will exceed its own as well as consensus estimates for the May-ending quarter.

“Micron reports earnings on June 25 (AMC). We expect upside to ours/cons. F3Q estimates, with bit shipments for the May-ending quarter likely helped by some pull-forward of PC/phone production (and memory chips) while these devices remain exempt from higher reciprocal tariffs. Although the market has concerns about what’s been pulled forward, recent checks suggest OEM inventory remains reasonable, broader DRAM demand (incl. high-capacity DRAM and LPDDR5X) is strong, and that pricing is expected to increase into the September month. We expect Micron’s F4Q(Aug) guidance to exceed our estimates, however the bogey will be higher now given the stock’s rally has coincided with DDR4 prices rallying (some exposure, though perhaps less than anticipated). On broader ASP strength we are optimistic Micron guides F4Q GMs better, +200-300bps into the upper-30s, enroute to >40% by F1Q (on higher mix of 12-Hi HBM3E).”

Micron Technology, Inc. (NASDAQ:MU) develops and sells memory and storage products for data centers, mobile devices, and various industries worldwide.

While we acknowledge the potential of MU as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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