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Micron Extends Breakout as UBS Lifts Target on Multi‑Year Memory Shortage Bet

Wall Street now looks to the March 19 report for proof of pricing power.

Overview

  • Shares rose about 3% Friday after Amazon signaled larger AI infrastructure spending, extending a gain of more than 300% over the past year.
  • UBS’s Timothy Arcuri raised his price target to $450, forecasting DRAM contract prices up roughly 62% quarter over quarter and NAND up about 40%, with supply tight through 2027.
  • Micron has guided to roughly 67%–68% gross margins for FQ2 and projected about $18.7 billion in revenue and $8.42 in non‑GAAP EPS, with results due March 19.
  • Major banks have lifted targets in recent days, including HSBC to $500, Mizuho to $480, Barclays to $450, and Piper Sandler to $400.
  • Risk flags include executive stock sales disclosed in recent Form 4 filings and concerns that SK Hynix’s HBM wins with Nvidia could constrain Micron’s long‑term pricing power.