Micron’s Path to $1,000 Per Share Runs Through the AI Memory Boom

Micron Technology (NASDAQ:MU) has been 1 of the astir explosive stories successful semiconductors implicit the past year. Shares person surged 355% implicit the past 12 months, climbing from $101.39 to $461.73 arsenic of March 18. Year-to-date, the banal is up 61.78%. The catalyst is straightforward: Micron is astatine the halfway of the AI representation supercycle, and its numbers are proving it. The question is whether shares tin scope a importantly higher level successful the twelvemonth ahead.

The expert statement terms people sits astatine $432.49, really below wherever the banal trades today. That's not bearish sentiment truthful overmuch arsenic Wall Street getting lapped by reality. Of 43 analysts covering MU, 38 complaint it a bargain and conscionable 2 complaint it a sell. The guardant P/E sits astatine conscionable 14x, an astir absurdly debased aggregate for a institution increasing net astatine 175% year-over-year. Micron has beaten EPS estimates successful each of the past 4 quarters, by 21.33%, 5.94%, 18.94%, and 9.49% respectively. When a institution beats this consistently, existent results volition astir surely transcend existent forecasts.

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At today's price, Micron trades astatine astir 44x trailing earnings. But the guardant representation is what matters. The institution guided Q2 FY2026 non-GAAP EPS of $8.42 for a azygous quarter. What could propulsion MU importantly higher?

• HBM request explosion. CEO Sanjay Mehrotra forecast "an HBM TAM CAGR of astir 40% done calendar 2028, from astir $35 cardinal successful 2025 to astir $100 cardinal successful 2028." Micron has already locked successful its afloat calendar 2026 HBM proviso commitments.

• Supply constraints staying tight. Mehrotra was explicit: "We judge that the aggregate manufacture proviso volition stay substantially abbreviated of the request for the foreseeable future."

• Margin enlargement continuing. GAAP gross margins went from 38.4% successful Q1 FY2025 to 56% successful Q1 FY2026, with Q2 guidance pointing to 68% non-GAAP gross margins.

• Estimate revisions accelerating. Reddit's r/stocks noted MU's Q2 guidance implied "EPS of $19.15 versus the Street estimation of $11.70" for the adjacent 4th alone.