Micron Rises as KeyBanc Lifts Target to $1,750
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- Micron Technology stock closed up 4.9% at $983.12 Tuesday, recovering after a 4.3% Monday drop during a broad chip-sector selloff.
- KeyBanc analyst John Vinh raised his price target to $1,750 from $1,600, implying 87% upside from Monday's close, based on a P/E of 9x his fiscal 2027 earnings forecast.
- Micron shares are up nearly 250% in 2026 after notching 37 record-high closes in the first half, though they remain 19% below their June 25 peak of $1,213.56.
- KeyBanc forecasts DRAM prices will rise 15%-20% in Q3 and another 15% in Q4, with NAND flash prices climbing 30%-40% in Q3 and 15% in Q4.
- High-bandwidth memory (HBM), the specialized memory crucial for AI processors, is set to more than double in price next year, per Vinh's supply-chain checks in Asia.
- The average Wall Street price target on Micron sits around $1,579 per FactSet, below KeyBanc's newly raised $1,750.
Why it matters: KeyBanc's call stakes its bullish case on memory shortages lasting at least 18 more months — a bet that depends entirely on continued AI-driven demand. With Micron already down 19% from its late-June peak and memory-chip stocks flagged as 'notably volatile,' investors are effectively pricing whether the AI-fueled cycle breaks the sector's historical boom-and-bust pattern.
