- Price Target Increase: Citi analyst Christopher Danely raised Micron's (MU) price target from $200 to $240 while maintaining a Buy rating
- Higher DRAM Prices: The firm increased estimates above market consensus, expecting DRAM chip prices to stay "higher and sustainable"
- Impressive Margin Forecast: Citi predicts Micron's profit margins will reach 60% thanks to better DRAM pricing and long-term customer contracts
- Earnings Could Double: Expected earnings per share may exceed $23, nearly twice Micron's previous record of $12.26
- AI Demand Driver: DRAM chips are becoming critical for artificial intelligence applications, creating strong demand
- Supply Shortage Expected: Analysts project DRAM undersupply will lead to more long-term contracts, securing stable revenue for Micron
Citi Boosts Micron Price Target to $240 on Strong DRAM Outlook
Citi boosts Micron stock target to $240, citing sustainable DRAM pricing and AI demand. Analyst predicts 60% margins and $23+ EPS, nearly double previous peak.