Micron stock reaffirmed at Buy by Rosenblatt ahead of earnings beat

Investing.com - Micron Technology (NASDAQ:MU), trading near its 52-week high of $160.59, received a reiterated Buy rating and $200.00 price target from Rosenblatt Securities ahead of its upcoming earnings report on September 23. The stock has demonstrated remarkable strength, delivering a 90.5% return year-to-date. InvestingPro analysis indicates the stock is currently trading close to its Fair Value, with 14 additional proprietary insights available to subscribers.

Rosenblatt expects Micron to exceed its August 11 pre-announcement figures and deliver stronger-than-consensus guidance for the November quarter. The firm cites constrained DRAM and NAND Flash wafer supply through 2026 alongside accelerating demand from AI workloads as key factors supporting its bullish outlook. This optimism aligns with InvestingPro data showing strong revenue growth of 58.2% and a healthy gross profit margin of 37.1%. Get detailed insights and access to Micron’s comprehensive Pro Research Report, part of our coverage of 1,400+ top US stocks.

The research firm notes that demand for DRAM has already exceeded available supply, while AI systems’ data storage requirements are strengthening storage markets. With hard disk drive lead times extending to 12 months, more expensive solid-state drives are increasingly filling nearline storage needs, pushing prices higher across segments.

Rosenblatt anticipates the memory industry cycle will establish structurally higher peaks than previous cycles. The firm models Micron reaching at least 55% Non-GAAP gross margin in the fourth quarter of fiscal 2026, supported by $14.5 billion in revenue and $4.78 earnings per share.

The firm identifies Micron as its top long investment idea as the memory up-cycle accelerates into fiscal year 2026, with key earnings call topics likely to include supply-demand balance, capacity expansion timing, and trade-offs across various DRAM product categories.

In other recent news, Micron Technology has seen several analysts raise their stock price targets ahead of the company’s upcoming earnings report. Wedbush increased its price target to $200, citing optimism about Micron’s position in the memory market cycle, while maintaining an Outperform rating. Similarly, Susquehanna also raised its target to $200, anticipating that Micron will exceed expectations and provide positive guidance in its August quarter results. Wolfe Research adjusted its target to $180, highlighting improved NAND sentiment and resilient DRAM pricing. Mizuho set its target at $182, attributing the increase to strong high bandwidth memory (HBM) estimates and a constructive DRAM-NAND market. Lastly, Deutsche Bank raised its target to $175, noting DRAM supply tightness as a contributing factor. These developments reflect a general consensus among analysts of a favorable outlook for Micron Technology.

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