Morgan Stanley Names Micron Top Pick, Raises Target to $338 on Tight Memory Supply

Overview

• Morgan Stanley on Nov. 24 reiterated Overweight on Micron, lifted its price target to $338 from $325, and increased its CY26 EPS estimate by 15%.
• The firm pointed to intensifying shortages across memory, highlighting severe pressure in DDR5 and describing a sense of crisis over product availability.
• Morgan Stanley argued the recent semiconductor selloff looks unwarranted given tightening supply and the earnings outlook it implies.
• Citi on Nov. 10 reiterated a Buy rating and kept a $275 target as demand tied to generative AI strengthens.
• Micron reported record fiscal 2025 results with $37.5 billion in sales, a 41% gross margin, and $17.53 billion in operating cash flow, while recent reports note shipped HBM4 samples and pricing agreements covering most HBM3E supply for 2026.