Micron Technology Poised for Big Fiscal Q2 Beat on AI Memory Demand, RBC Says

MT Newswires Live00:16

Micron Technology (MU) is poised for a strong fiscal Q2 earnings beat on AI-driven demand and rising memory prices, RBC Capital Markets said Sunday in a report.

RBC boosted its Q2 estimates to EPS of $13.52 from $8.42 and revenue of $25.5 billion from $18.7 billion, citing higher DRAM and NAND pricing. Results are due Wednesday.

Strong AI demand for high-bandwidth memory and DDR probably will continue through 2027, RBC said. Micron's management has indicated that HBM is sold out for 2026, the report said.

HBM pricing may increase further in 2027 as contracts are renegotiated, and increasing HBM content in each generation of GPUs and XPUs is expected to continue, the report said.

"Micron has a strong roadmap," RBC said. "The key debate is mostly about the duration of the current

memory upcycle"

RBC raised its price target on Micron Technology stock to $525 from $425 and maintained its outperform rating.

Price: 448.89, Change: +22.76, Percent Change: +5.34

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