BofA Lifts Micron Price Target to $1,550
Get the Finance newsletter
Daily finance — markets, central banks, M&A, the prints that move money. Free.
- Micron stock closed June 25 up 15.81% at $1,213.56 after releasing record Q3 FY26 earnings on June 24, leaving shares up 313.14% year-to-date versus the S&P 500's roughly 7.74% gain in the same period.
- Micron reported Q3 revenue of $41.46 billion — up 73.76% quarter-over-quarter and 345.8% year-over-year — with GAAP net income of $28.24 billion, or $24.67 per diluted share, nearly 1,400% higher than a year earlier.
- Micron guided Q4 revenue to $50 billion ± $1 billion with GAAP gross margin of 86% and diluted EPS of $30.73 ± $1.00, and confirmed it has completed 16 non-cancelable, take-or-pay strategic customer agreements across data center, consumer, and auto segments.
- Bank of America analyst Vivek Arya raised Micron's price target to $1,550 from $1,500 while reiterating a buy rating, and lifted non-GAAP EPS estimates for FY26, FY27, and FY28 to $71.13, $140.24, and $145.45, respectively.
- Arya warned that elevated memory pricing could act as a "tax" on data center customer capex and risk demand destruction in mobile and auto end markets, while downside risks include larger-than-expected ASP declines and competition from Chinese newcomers.
- Of 39 analysts covering Micron, 36 rate it a buy with an average price target of $1,228.30, even as the stock has retreated to $1,179.00 — down 2.85% from its post-earnings close — possibly on a New York Times report that OpenAI is pushing its IPO to 2027.
Why it matters: BofA's $1,550 target sits roughly 31% above Micron's $1,179 trading level, signaling continued Wall Street conviction even as the stock gives back its post-earnings pop; with 36 of 39 analysts bullish and Q4 guidance of $50 billion in revenue already baked in, the debate now hinges on whether memory pricing peaks here or extends the unusually long AI-driven cycle.
