Erste Group initiates coverage on Micron stock with Buy rating

Published 14/08/2025, 13:12
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Investing.com - Erste Group initiated coverage on Micron Technology (NASDAQ:MU) with a Buy rating on Thursday, joining a strong bullish consensus among analysts. According to InvestingPro data, the stock has analyst price targets ranging from $95 to $200.

The research firm cited Micron’s recently updated financial guidance for the fourth quarter of fiscal 2025, which showed significantly better development than previously expected.

Micron raised its revenue forecast to $11.2 billion for the quarter, alongside an improved gross margin projection of approximately 44.5%.

The semiconductor company also substantially increased its earnings per share guidance to $2.50 (plus or minus), according to Erste Group’s analysis.

Erste Group noted that Micron stock is "valued favorably" based on its price-to-earnings ratio, particularly considering what the firm described as "good growth prospects" for the company.

In other recent news, Micron Technology has reported positive developments in its financial outlook. The company preannounced its August quarter results, showing increased revenues, gross margins, and earnings per share, which were positively impacted by an improved pricing environment, particularly in the DRAM sector across AI/datacenter, smartphone, and PC markets. This announcement led JPMorgan to raise its price target for Micron to $185, maintaining an Overweight rating. UBS also reiterated its Buy rating and set a price target of $155, noting an increase in Micron’s fiscal fourth-quarter revenue estimate to approximately $11.2 billion, with a raised gross margin forecast to 44.5% and earnings per share to $2.85.

Additionally, Cantor Fitzgerald reaffirmed its Overweight rating, emphasizing Micron’s improved financial guidance ahead of a competitor’s conference. TD Cowen echoed this sentiment, maintaining a Buy rating and a $150 price target, while adjusting its earnings per share estimate for the November quarter from $2.90 to $3.13. Wells Fargo expressed confidence in Micron’s ability to maintain its HBM market share target in the second half of 2025. These developments highlight a series of optimistic forecasts from various analyst firms regarding Micron’s financial health and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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