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$MU
Bull Thesis for MU (Micron Technology)
Micron is positioned at the center of the AI infrastructure buildout as the leading supplier of high-bandwidth memory (HBM) and DRAM essential for AI training and inference.
Strong demand has led to sold-out production capacity through much of 2026 and 2027, with record revenues, gross margins near 60%, and exceptional free cash flow in recent quarters.
AI-driven memory demand represents a multi-year structural shift rather than a traditional cyclical boom, supported by hyperscaler capex increases and HBM4 qualifications at premium pricing.
Micron's execution, technology leadership, and pricing power should drive continued earnings growth.
Price target: $1,400–$1,750 within 12–18 months, reflecting expanded multiples on sustained high profitability.