UBS raises Micron’s price target by over 200%, citing long-term AI demand and stable earnings visibility from new customer contracts.
Micron Technology shares surged to a record intraday high after UBS tripled its price target to $1,625, implying 116% upside from Friday’s close. The new target reflects a valuation shift driven by artificial intelligence demand and revised customer agreements.
The bank’s revised outlook follows Micron’s transition to long-term contracts with fixed volume and pricing commitments, replacing prior volume-based deals. This change aims to stabilize earnings and revenue, reducing exposure to memory chip cycle volatility.
If Micron reaches the target, its market capitalization would hit $1.8 trillion, positioning it among the top seven U.S. companies. Shares jumped over 10% in early trading, marking the 30th intraday record this year.