Micron Stock Surges, Morgan Stanley Says There’s More Room To Run

Micron Technology Inc (NASDAQ:MU) stock is trading higher Wednesday after Morgan Stanley reiterated its Overweight rating and boosted its price target from $350 to $450. Here’s what you should know.

Analyst Joseph Moore pointed to continued DRAM price strength and persistent supply shortages as the main reasons behind the improved outlook, Investing.com reported.

Don’t Miss:

Morgan Stanley noted that mainstream DRAM prices could double again and still remain more than 10% below current spot levels, which continue to trend upward. Contract pricing has already climbed 86% since December, and the firm says buyers who waited too long to secure inventory are now paying close to high teens ASP per GB.

Micron is also preparing to announce a new investment in memory‑chip manufacturing capacity in Singapore, focused on NAND flash production, signaling that the company expects long‑term demand to remain strong, according to the report.

See Also: Blue-chip art has historically outpaced the S&P 500 since 1995, and fractional investing is now opening this institutional asset class to everyday investors.

Micron Technology has recently received favorable ratings from several analysts, with most maintaining an optimistic outlook. Similarly to Morgan Stanley’s rating, Mizuho kept its Outperform rating, increasing the target from $390 to $480 on Jan. 27.

Other significant rating actions include William Blair initiating coverage with an Outperform rating on Jan. 22. In addition, TD Cowen and Stifel both maintained their Buy ratings on Jan. 20. TD Cowen set a new target of $450, up from $300, while Stifel raised its target from $300 to $360. This indicates a strong consensus among analysts for Micron Technology’s positive performance.

Read Next: 

Image: Shutterstock

UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets.

Get the latest stock analysis from Benzinga:

This article Micron Stock Surges, Morgan Stanley Says There’s More Room To Run originally appeared on Benzinga.com