Raymond James Doubles Micron Stock Price Target on Booming AI De - GuruFocus

Raymond James has doubled its stock price target for Micron Technology, driven by robust demand from the artificial intelligence (AI) sector. The firm believes that as AI models expand and data center... Read original →

Raymond James’ doubled price target for Micron signals more than AI hype—it reflects a generational shift in memory architecture. Surging demand for HBM3E and upcoming HBM4 is accelerating DRAM scaling to 1β and 1γ nodes, triggering upgrades across EDA, advanced packaging, and test equipment. Yet tightening U.S. export controls inflate compliance costs and jeopardize Micron’s China manufacturing footprint, while its fabs in Taiwan, China and Japan face geopolitical volatility. Against Samsung and SK Hynix’s HBM lead, Micron must secure co-packaging alliances or anchor designs with NVIDIA. Over the next 12–24 months, AI server memory will exceed 40% of high-end DRAM revenue, but weak consumer electronics may depress blended ASPs. The real tailwind lies in edge AI: if Micron fails to dominate LPDDR5X and UFS 4.0 adoption in client devices, its premium valuation won’t hold.