Micron Technology (NASDAQ:MU) Trading Up 6.6% Following Analyst Upgrade

Key Points

• Micron Technology shares rose 6.6% after Raymond James Financial lifted its price target dramatically from $530 to $1,100 and reiterated an outperform rating.
• Analyst sentiment remains broadly bullish, with multiple firms raising targets and the stock now carrying an average Buy rating and a consensus target of $621.97, though some analysts have warned valuation may be getting stretched.
• The move comes amid continued optimism tied to AI-driven memory demand and a strong prior earnings report, where Micron beat estimates on both EPS and revenue; the next earnings report is due June 24.

Micron Technology, Inc. (NASDAQ:MU - Get Free Report)'s share price was up 6.6% during trading on Monday after Raymond James Financial raised their price target on the stock from $530.00 to $1,100.00. Raymond James Financial currently has an outperform rating on the stock. Micron Technology traded as high as $1,046.97 and last traded at $1,035.50. Approximately 45,874,303 shares traded hands during mid-day trading, an increase of 5% from the average daily volume of 43,486,664 shares. The stock had previously closed at $971.00.

Several other equities research analysts have also weighed in on MU. Weiss Ratings restated a "buy (b)" rating on shares of Micron Technology in a report on Tuesday, May 12th. Barclays boosted their target price on Micron Technology from $450.00 to $675.00 and gave the stock an "overweight" rating in a report on Thursday, March 19th. Cantor Fitzgerald boosted their target price on Micron Technology from $450.00 to $700.00 and gave the stock an "overweight" rating in a report on Thursday, March 19th. Bank of America boosted their target price on Micron Technology from $400.00 to $500.00 and gave the stock a "buy" rating in a report on Thursday, March 19th. Finally, Summit Insights lowered Micron Technology from a "buy" rating to a "hold" rating in a report on Thursday, March 19th. Five research analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat, the company presently has an average rating of "Buy" and an average target price of $621.97.

Insider Buying and Selling

In other Micron Technology news, EVP April S. Arnzen sold 40,000 shares of the company's stock in a transaction on Wednesday, April 1st. The stock was sold at an average price of $347.39, for a total value of $13,895,600.00. Following the sale, the executive vice president directly owned 125,737 shares in the company, valued at $43,679,776.43. This represents a 24.13% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Sumit Sadana sold 24,000 shares of the stock in a transaction on Friday, April 10th. The stock was sold at an average price of $421.35, for a total value of $10,112,400.00. Following the sale, the executive vice president owned 224,021 shares in the company, valued at $94,391,248.35. The trade was a 9.68% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 106,000 shares of company stock valued at $47,032,460. 0.24% of the stock is currently owned by insiders.

Micron Technology News Summary

Here are the key news stories impacting Micron Technology this week:

• Positive Sentiment: Memory and storage stocks are extending their parabolic rally as AI demand keeps pressure on chip supply, lifting Micron along with peers like Western Digital and SanDisk. Micron Rises 7%, Western Digital Climbs and SanDisk Climb 4% as Memory Stocks Extend Parabolic Run
• Positive Sentiment: Raymond James raised its price target on Micron to $1,100 from $530 and reiterated an outperform rating, reinforcing the bullish case for further gains. Micron Technology had its price target raised by Raymond James Financial, Inc.
• Positive Sentiment: Susquehanna also lifted its Micron target to $1,750 from $600, signaling that some analysts think the AI memory boom still has room to run. Micron Gains Wall Street Support as Memory Demand Builds
• Positive Sentiment: Several articles point to Micron as a major winner from AI bottlenecks and rising data-center spending, keeping investor sentiment strong ahead of its next earnings report. Micron and 6 Other Stocks Set to Win Big From the AI Bottleneck
• Neutral Sentiment: Micron’s upcoming June 24 earnings report remains a key catalyst, with investors expecting another strong quarter after the company’s recent beat-and-raise pattern. Will Micron (MU) Beat Estimates Again in Its Next Earnings Report?
• Negative Sentiment: After Micron’s massive rally, some commentary notes that the average Wall Street target may now imply downside from current levels, suggesting valuation risk if AI enthusiasm cools. Micron Rally Splits Wall Street Targets
• Negative Sentiment: Some broader AI-stock commentary warns that soaring valuations could make the trade vulnerable to a pullback if investors start questioning whether the rally has become too expensive. Are AI stocks getting too expensive?

Hedge Funds Weigh In On Micron Technology

Several hedge funds have recently added to or reduced their stakes in the company. Signature Equity Partners LLC boosted its holdings in Micron Technology by 6.3% in the first quarter. Signature Equity Partners LLC now owns 253 shares of the semiconductor manufacturer's stock valued at $86,000 after acquiring an additional 15 shares during the last quarter. Clearwater Capital Advisors LLC lifted its stake in Micron Technology by 1.1% in the first quarter. Clearwater Capital Advisors LLC now owns 1,617 shares of the semiconductor manufacturer's stock valued at $546,000 after buying an additional 18 shares during the period. Capital Advisors Ltd. LLC lifted its stake in Micron Technology by 10.3% in the first quarter. Capital Advisors Ltd. LLC now owns 247 shares of the semiconductor manufacturer's stock valued at $83,000 after buying an additional 23 shares during the period. Manning & Napier Advisors LLC lifted its stake in Micron Technology by 2.4% in the fourth quarter. Manning & Napier Advisors LLC now owns 1,030 shares of the semiconductor manufacturer's stock valued at $301,000 after buying an additional 24 shares during the period. Finally, Essex Bank lifted its stake in Micron Technology by 2.0% in the first quarter. Essex Bank now owns 1,252 shares of the semiconductor manufacturer's stock valued at $423,000 after buying an additional 24 shares during the period. Institutional investors own 80.84% of the company's stock.

Micron Technology Stock Performance

The company has a market cap of $1.17 trillion, a price-to-earnings ratio of 48.89 and a beta of 2.15. The company has a debt-to-equity ratio of 0.13, a current ratio of 2.90 and a quick ratio of 2.32. The stock has a 50-day moving average price of $557.48 and a 200 day moving average price of $412.42.

Micron Technology (NASDAQ:MU - Get Free Report) last released its quarterly earnings results on Wednesday, March 18th. The semiconductor manufacturer reported $12.20 EPS for the quarter, topping analysts' consensus estimates of $9.19 by $3.01. The company had revenue of $23.86 billion for the quarter, compared to analyst estimates of $19.97 billion. Micron Technology had a return on equity of 41.16% and a net margin of 41.49%.Micron Technology's revenue was up 196 compared to the same quarter last year. During the same quarter last year, the firm posted $1.56 earnings per share. As a group, analysts anticipate that Micron Technology, Inc. will post 58.62 EPS for the current fiscal year.

Micron Technology Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Monday, March 30th were given a dividend of $0.15 per share. This is an increase from Micron Technology's previous quarterly dividend of $0.12. This represents a $0.60 dividend on an annualized basis and a dividend yield of 0.1%. The ex-dividend date of this dividend was Monday, March 30th. Micron Technology's payout ratio is 2.83%.

About Micron Technology

Micron Technology, Inc is a global semiconductor company that designs and manufactures memory and storage solutions. Its product portfolio includes dynamic random-access memory (DRAM), NAND flash memory, solid-state drives (SSDs), memory modules and embedded memory solutions for a wide range of computing and electronic devices. Micron supplies components used in data centers, enterprise and cloud infrastructure, client computing, mobile devices, automotive systems and industrial applications, and also markets consumer-facing products under the Crucial brand.

Founded in 1978 and headquartered in Boise, Idaho, Micron has grown into an international manufacturer with research, development and production facilities across multiple regions.

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