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Investing.com - Wolfe Research has increased its price target on Micron Technology (NASDAQ:MU) to $200.00 from $180.00 while maintaining an Outperform rating on the stock. Currently trading at $166.41, Micron’s stock is approaching its 52-week high of $170.45, with InvestingPro data showing analyst targets ranging from $100 to $220.
The research firm cited Micron’s strengthening earnings potential as the primary reason for the higher target, noting that the company’s earnings per share (EPS) is already annualizing at $15.
Wolfe Research has raised its fiscal year 2027 EPS estimate for Micron to $19.19, based on projected revenue of approximately $60 billion and gross margins reaching 54% by the end of that period.
The firm believes Micron’s earnings power of $20 per share has shifted from "possible to probable," which supports the new $200 price target.
Micron stock has gained 78% over the past 12 months, outperforming the Philadelphia Semiconductor Index (SOX), which rose 26%, and the S&P 500, which increased 16% during the same period.
In other recent news, Micron Technology reported impressive financial results for the August quarter, with revenue reaching $11.3 billion and earnings per share at $3.03, surpassing its prior guidance. This performance has led several analyst firms to revise their stock price targets upward. Mizuho increased its target to $195, highlighting HBM growth, while Needham raised its target to $200, citing strong AI demand and improving market conditions. KeyBanc set a new target of $215, attributing the increase to robust DRAM pricing and strong fourth-quarter results. JPMorgan also adjusted its target to $220, noting Micron’s better-than-expected revenue, gross margin, and earnings, along with a promising outlook for the November quarter. Raymond James raised its target to $190, emphasizing the impact of AI datacenter builds on demand and pricing for DRAM and NAND. These developments underscore the positive sentiment among analysts regarding Micron’s recent performance and future prospects.
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