This Semiconductor Stock Has More Than Tripled This Year – But Wolfe Research Sees Another 36% Upside

Wolfe hiked its price target for Micron to $1,250 from $550, while maintaining its ‘Outperform’ rating on the stock.

• Wolfe raised its Micron forecasts to reflect an approximately 45% increase in memory pricing in the third quarter and stronger pricing trends through 2026.
• The firm also raised its calendar 2027 projections for Micron, citing higher-than-expected pricing for high-bandwidth memory.
• Wolfe now forecasts Micron will generate $226.5 billion in revenue and earn $135 per share in 2027.

Shares of Micron Technology Inc. (MU) are up nearly 217% year-to-date, but analysts at Wolfe Research expect the stock to rally further this year.

According to TheFly, Wolfe raised its price target for Micron to $1,250 from $550, implying an upside potential of about 36% from current levels. The firm maintained its ‘Outperform’ rating on the stock.

Micron shares were up more than 3% in Thursday’s opening trade.

Why Is Wolfe Bullish On MU?

Wolfe raised its Micron forecast to reflect an approximately 45% increase in memory pricing during the fiscal third quarter (Q3), with stronger pricing trends expected to persist through calendar year 2026. The firm also raised its calendar 2027 projections for Micron, citing higher-than-expected pricing for high-bandwidth memory (HBM).

As a result, Wolfe now forecasts Micron will generate $226.5 billion in revenue and $135 in earnings per share (EPS) in 2027. While fiscal year 2026 is still ongoing, in the last completed fiscal year, 2025, Micron reported $37.4 billion in revenue and an EPS of $8.29.

Analysts at Daiwa raised their price target on Micron to $1,600 from $700 on Wednesday, while maintaining their ‘Buy’ rating on the stock.

MU Picks Partner For Its New York Semiconductor Project

Micron announced on Thursday that it has picked Bechtel for its semiconductor project in New York. The firm said this project is expected to support about 50,000 jobs, including more than 4,500 construction jobs.

It also noted the project represents the largest private investment in New York state history. It is expected to generate roughly $16.7 billion in annual economic output and about $5.4 billion in annual personal income for New Yorkers over the next 30 years.

IDC Says Memory Shortage To Persist Through 2027

Industry research firm IDC recently stated that it expects the memory shortage to persist through 2027.

“We’re not seeing any relief to the memory shortage situation before the end of 2027, which means prices will continue to rise and PC manufacturers will struggle to maintain full product portfolios for the foreseeable future,” said Jean Philippe Bouchard, Vice President of Devices and Consumers at IDC.

He added that expectations of higher prices, potential shortages of memory and other components have prompted some customers to accelerate purchases.

What Do Retail Traders Think Of MU?

Retail sentiment on Stocktwits around Micron Technology trended in the ‘neutral’ territory at the time of writing.

One bullish user on the platform believes that Micron shares will hit $980 on Thursday.

View this Stocktwits post

MU stock is up 217% year-to-date and 681% over the past 12 months. The S&P 500 ETF Trust (SPY) is up 21% over the past 12 months, while the Invesco QQQ Trust (QQQ) is up 31%.

The iShares Semiconductor ETF (SOXX) is up 147% during this period, while the State Street Technology Select Sector SPDR ETF (XLK) is up 48%.

For updates and corrections, email newsroom[at]stocktwits[dot]com.<