Micron stock bullish sentiment remains strong, driven by a concurrent HBM shortage and DRAM supply constraints that continue to push Wall Street forecasts higher. Mizuho trimmed its price target to $1,300 from $1,375 while maintaining a Buy rating, citing multiple compression rather than demand weakness. Needham raised its target to $300, noting Micron’s HBM3E and HBM4 supply for 2026 is already sold out. Spot DRAM prices surged 162% quarter-over-quarter. UBS increased its target to $245, and Citi to $240, both citing the DRAM supply shortage. Goldman Sachs projects a 5.9% DRAM undersupply by 2027. Shares are up 247% over the past year, and the average analyst price target stands at $290.92.
The bullish case for Micron stock hinges on supply constraints. A Micron HBM shortage and a DRAM supply shortage are simultaneously pinching the market. Mizuho’s Vijay Rakesh dropped his target to $1,300 from $1,375 on August 25, 2026, keeping his Buy rating. He pointed to “some multiple compression from concerns around de-specing on future GPU/ASICs.”
Needham moved its target up to $300 from $200, noting that Micron’s HBM3E and HBM4 supply for 2026 is already sold out. Spot DRAM prices jumped 162% quarter-over-quarter. UBS pushed its target to $245, and Citi went to $240. Goldman Sachs projects a 5.9% DRAM undersupply by 2027 as AI server demand consumes capacity.
Micron’s Executive Vice President of Operations, Manish Bhatia, described the HBM shortage as “unprecedented,” as stated. Shares have risen roughly 247% over the past year. Q1 2026 net revenue reached $13.6 billion, up 21% quarter-over-quarter, with gross margin near 57% as HBM sales scaled. Micron guided non-GAAP EPS to climb about 440% year-over-year this quarter. The average Micron stock price target across 40 analysts sits at $290.92, above current trading levels.
BofA raised its target but flagged startup cost headwinds persisting into calendar 2026. A sold-out HBM shortage and tight DRAM supply give Micron pricing power, expanding margins and driving earnings beats. Multi-year contracts locking fixed pricing through 2030 aim to protect revenue if the shortage eases.
