Micron’s stock has topped $1,000 for the first time, leaving Wall Street racing to keep up. Shares rose 0.9% in premarket trading on Tuesday after jumping 6.6% on Monday. The surge comes as demand for memory chips keeps outpacing supply. Here’s what analysts and industry forecasts are saying about where the rally might head next.
On Monday, Raymond James raised its price target for Micron from $530 to $1,100 and kept its Outperform rating. The new target is based on 10 times the firm’s adjusted earnings forecast for 2027. The analyst said there has been little pushback from investors, and more people now believe this memory cycle is different from past boom-and-bust periods. This is due to more careful capacity growth among major suppliers and strong demand from AI, both of which have no real precedent. The average analyst price target is now $767.73, well below the current share price.
Micron’s forward price-to-earnings ratio has expanded to 11.4 times from just 4.4 times as recently as April, as investors begin pricing in long-term supply agreements that reduce the cyclical risk historically embedded in memory valuations.
The demand backdrop is strengthening further. Research firm TrendForce this week raised its global memory market revenue forecast for 2026 to $889.3 billion from a prior estimate of $551.6 billion. It now expects the market to reach $1.28 trillion in 2027, up from a previous forecast of $842.7 billion. The scale of those revisions reflects how dramatically AI infrastructure buildout has reshaped the memory supply-and-demand equation in a short period.
Micron’s stock has increased more than ten times in the past year.
