Citi Hikes Micron Price Target 100% on AI Demand Surge

A Citi (C) analyst raised the price target for Micron Technology (MU) by 100% to $840 per share, the highest estimate among Wall Street analysts to date. This significant upward revision comes amid surging demand for high-bandwidth memory (HBM) chips used in AI applications.

Recommendation Change

Prior to this adjustment, Citi's price target for Micron was $420 per share. The new recommendation maintains a "Buy" rating on the stock.

Analyst's Rationale

The analyst believes Micron will benefit significantly from the increasing demand for HBM chips used in AI accelerators, such as NVIDIA's (NVDA) GPUs. He also notes that the memory sector is experiencing a strong cyclical upturn driven by widespread AI adoption.

Context

This revision follows Micron's strong fiscal Q3 2026 earnings report, which beat analyst estimates. The company also raised its Q4 guidance, boosting confidence in its ability to deliver robust growth. In contrast, the average price target for Micron among analysts stands at around $650.

What to Make of It

Citi's price target hike reflects significant optimism about Micron's future amid the AI boom. However, investors should consider that bullish expectations may be overdone, and the stock could experience volatility if growth fails to materialize.