Analysts Remain Bullish on Micron Stock (MU) Despite Ongoing Volatility

Micron Technology MU -7.99% ▼ stock plunged about 8% on Tuesday due to broader concerns about the U.S.-Iran war. Also, Korean counterparts Samsung SSNLF +54.05% ▲ and SK Hynix declined as investors are concerned that rising energy prices due to the ongoing geopolitical tensions could affect memory chipmakers. Meanwhile, MU stock was up about 2% in Wednesday’s trading session. While Micron stock has pulled back 9% over the past month, it is still up by an impressive 319%. Despite the ongoing volatility in Micron stock ahead of the Q2 FY26 earnings on March 18, Wall Street remains bullish about the company’s prospects, driven by AI-led demand tailwinds for memory solutions and higher pricing amid tight supply.

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Notably, Wall Street expects Micron’s Q2 FY26 EPS to jump 447% year-over-year to $8.54, driven by solid demand and a surge in memory prices. Revenue is projected to rise more than 134% to $18.88 billion.

Top Analysts Are Optimistic Micron Stock

Micron impressed investors with a 57% growth in Q1 FY26 revenue and solid guidance, as the ongoing AI boom has fueled robust demand for the company’s memory and storage solutions. Most analysts remain upbeat about continued momentum in Micron’s performance despite concerns about supply constraints impacting the company’s ability to meet the high demand.

Recently, Stifel analyst Brian Chin raised his price target for Micron Technology stock to $550 from $360 and reaffirmed a Buy rating. “Memory pricing is hitting levels we did not envision, evidence of the widening/persistent gap between supply and demand,” noted the 5-star analyst. Chin noted that the real opportunity is not just HBM (high-bandwidth memory), but server DDR5. The analyst expects server RDIMM gross margin to rise more than 80%. In fact, Chin expects Micron’s gross margin to be at “software-like” levels (mid-upper 70% range) by mid-year and remain there through the end of 2026.

The analyst highlighted that his firm’s supply checks continue to indicate that memory supply remains relatively fixed over the next 12 months. Consequently, Chin doesn’t expect pricing strength to fade. He contends that consensus estimates are too low and underestimate the slope and magnitude of upward revision potential over the quarters ahead.

Likewise, UBS analyst Timothy Arcuri is bullish on Micron stock and boosted his price target to $475 from $450. The 5-star analyst highlighted that the latest round of industry checks indicate solid pricing dynamics in core DRAM and NAND. Arcuri expects shortages to persist through calendar year 2027 and 2028 – particularly for DRAM.

Is Micron a Good Stock to Buy?

Heading into Q2 FY26 earnings, Wall Street has a Strong Buy consensus rating on Micron stock based on 26 Buys and two Hold recommendations. The average MU stock price target of $417.81 indicates 10% upside potential.

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