Analysts See Continued Upside for Memory Chip Leader Amid Strong DRAM Market Cycle
Micron Technology (MU), one of the world’s largest manufacturers of memory and storage semiconductors, continues to attract bullish attention from Wall Street as artificial intelligence demand drives growth across the industry.
RBC Capital recently raised its price target on Micron from $525 to $1,200 while maintaining an “Outperform” rating. The new target implies more than 17% upside from current trading levels and reflects stronger expectations for both memory pricing and shipment volumes.
According to RBC analyst Srini Pajjuri, the current DRAM market upcycle has already lasted 12 quarters but could continue for another five to six quarters. The firm’s optimism is supported by robust capital spending across the technology sector, increasing demand from generative AI applications, and the rapid adoption of inference and agentic AI systems that require significant memory capacity.
Micron’s financial performance has also strengthened considerably. The company currently boasts a net profit margin of 41.49%, earning a place among the most profitable American stocks heading into 2026.
RBC is not alone in its positive outlook. Earlier this month, Wolfe Research also increased its price target on Micron from $550 to $1,250 while reiterating its “Outperform” rating. The dual upgrades highlight growing confidence that memory chips will remain a critical component of the AI infrastructure buildout.
As demand for advanced computing and AI accelerates, Micron appears well-positioned to benefit from the long-term expansion of the semiconductor and data center markets.
