Micron stock price: Why MU shares are rising today and what's the new price target

Micron (MU) stock price: Micron Technology shares rose on Tuesday after Stifel raised its price target on the stock to $360 from $300, keeping a Buy rating on the memory chipmaker.

MU Stock (Micron) Today Jumps After Stifel Raises Price Target

The stock price target sits close to Micron’s current trading level of about $362.75, as the stock continues a powerful rally that has seen it surge roughly 244% over the past year and trade near its 52-week high of $365.81, as per a report.

MU Shares Trade Near 52-Week High After Strong Rally

Stifel said the upgrade reflects Micron’s opportunity for "breathing room on its supply roadmap," which is a key factor behind the increased target, as per an Investing.com report.


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AI Cloud Demand Tightens DRAM Supply, Says Stifel

The firm pointed to rapid growth in AI cloud infrastructure, which has absorbed much of the available DRAM supply and contributed to current market tightness.

Micron Forecast to Post 101% Revenue Growth This Year

Data from InvestingPro shows Micron is expected to post 101% revenue growth in the current fiscal year, as per the report.

Micron Shifts Supply Toward Cloud and Enterprise Customers

Stifel pointed out that, Micron has redirected supply away from China and retail consumer channels, including its Crucial brand, toward higher-margin cloud and enterprise customers. In the near term, the company is relying on transitions to 1-gamma technology and better bit supply optimization to support revenue and margin growth.

Taiwan Fab Acquisition Strengthens Long-Term Supply Outlook

Micron’s long-term outlook has also been boosted by its agreement to acquire Powerchip Semiconductor Manufacturing Corporation’s P5 fabrication site in Taiwan for $1.8 billion in cash. Stifel said that Micron’s acquisition of PSMC fab and site in Taiwan provides a "structural outlet for more sustained supply growth," as quoted by Investing.com.

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Cleanroom Expansion to Boost DRAM Output From 2027

The deal, which is expected to close by the second quarter of 2026 pending regulatory approvals, will add about 300,000 square feet of cleanroom space and is projected to lift DRAM wafer output beginning in the second half of 2027, as per a Reuters report. Research firm TrendForce said the first phase of capacity from the Tongluo fab could equal more than 10% of Micron’s global capacity by late 2026.

Micron Stock Performance

Micron CEO Sanjay Mehrotra has said memory markets are likely to remain tight beyond 2026, a view that supports the company’s strong stock performance, which rose about 240% in 2025, far outpacing gains in the broader chip index, as per the Reuters report.

Analysts Remain Split on Micron’s Valuation and Outlook

Analyst views on Micron remain mixed. Aletheia Capital recently downgraded the stock to Hold, citing valuation concerns and issues around HBM3E, while RBC Capital initiated coverage with an Outperform rating, pointing to strong demand for generative AI and improved supply discipline in the memory market, as per the Investing.com report.

FAQs

Why did Micron stock rise today?
The stock rose after Stifel increased its price target and maintained a Buy rating.

What is Stifel’s new price target for Micron?
Stifel raised its price target to $360 from $300.