Micron approaches $1tn as UBS sees a path to $1.8tn over 12 months
Timothy Arcuri lifted his price target to $1,625 from $535 on the back of long-term HBM supply agreements that, in his read, compress the boom-bust memory cycle into something closer to a structural duopoly.
Micron Technology shares rose as much as 19% on Tuesday after UBS analyst Timothy Arcuri more than tripled his price target to $1,625 from $535, implying a market value approaching $1.8 trillion if the call holds up over the next 12 months.
The new figure is the highest among the 46 analysts covering the stock and represents one of the most aggressive single-day re-ratings of a mature semiconductor company on record.
The argument behind Arcuri’s call is more interesting than the number itself. UBS’s thesis is not that AI demand will lift memory prices indefinitely, which is the standard cyclical-upside argument. It is that long-term supply agreements between memory makers and their largest customers, particularly the...
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