Micron Technology Stock Soars on AI Memory Boom, Analysts Bullish on Growth

BOISE, January 28, 2026 – Micron Technology Inc. (NASDAQ: MU) shares continue their meteoric rise, fueled by explosive demand for memory chips powering artificial intelligence systems. The semiconductor giant’s stock has surged over 40% year-to-date, reaching new highs as analysts raise price targets following stronger-than-expected quarterly results and major expansion announcements.

Record Performance and AI-Driven Growth

Micron reported extraordinary fiscal first-quarter 2026 results, with revenue surging 57% year-over-year to $13.64 billion. The company’s non-GAAP earnings per share reached $4.78, representing 167% growth from the same period last year. This performance was driven by what analysts are calling a “memory supercycle” as AI infrastructure demands increasingly strain global memory supply.

“Access to memory has become a key bottleneck in AI racks and systems,” noted William Blair analysts in a recent research note initiating coverage with an Outperform rating. The firm expects Micron to grow non-GAAP earnings over 275% during the next two years.

Key Financial Metrics & Recent Performance

Strategic Expansion and Analyst Upgrades

Micron recently broke ground on a $24 billion advanced wafer fabrication facility in Singapore, with wafer output scheduled to begin in the second half of 2028. This expansion complements the company’s planned $100 billion leading-edge memory manufacturing complex in Clay, New York, expected to start production in 2030.

Analysts have responded positively to these developments. Mizuho raised its price target to $480 from $390 on January 27, maintaining an Outperform rating. TD Cowen increased its target to $450 from $300, while Stifel moved to $360 from $300. All three firms cited worsening memory shortages and favorable pricing dynamics extending through 2026.

“Memory shortages are worsening, not improving,” TD Cowen analysts stated. “DRAM and NAND shortages are worsening, supporting a firmer pricing outlook into the second half of 2026.”

Industry Context and Competitive Position

Micron operates as one of only three major global memory suppliers, alongside South Korea’s Samsung and SK Hynix. The company specializes in dynamic random access memory (DRAM) and NAND flash memory chips, which are essential components in data centers, smartphones, automotive systems, and AI hardware.

The high-bandwidth memory (HBM) market, critical for AI accelerators, is projected to grow from approximately $35 billion in 2025 to $100 billion by 2028. Micron’s management has confirmed that its entire 2026 HBM supply is already sold out under price and volume agreements.

Frequently Asked Questions

Why is Micron stock performing so well?

Micron is benefiting from what analysts call a “memory supercycle” driven by artificial intelligence demand. Memory chips have become a bottleneck for AI infrastructure development, leading to supply shortages and higher prices that significantly boost Micron’s revenue and profitability.

What are analysts saying about Micron’s future?

The consensus among 30 analysts covering Micron is “Strong Buy.” While the average 12-month price target is $330.50, recent upgrades from major firms like Mizuho ($480), TD Cowen ($450), and Stifel ($360) suggest growing optimism about the company’s earnings potential through 2026 and beyond.

When does Micron report earnings next?

Micron is scheduled to report its fiscal second-quarter 2026 results on March 19, 2026. The company has guided for revenue of approximately $18.70 billion and GAAP diluted EPS of about $8.19 for the quarter.

Does Micron pay dividends?

Yes, Micron pays a quarterly dividend of $0.115 per share, representing an annual dividend yield of approximately 0.11%. The most recent dividend was paid on January 14, 2026, to shareholders of record as of December 29, 2025.