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Micron Technology: Mizuho Boosts Stock Price Target to $130 on High Bandwidth Memory and AI Sector Growth Forecast

Investing.com lifts Micron Technology stock price target to $130 due to AI and HBM growth.

Micron Technology: Mizuho Boosts Stock Price Target to $130 on High Bandwidth Memory and AI Sector Growth Forecast

Micron Technology (NASDAQ:) was shown confidence in by Mizuho on Monday, as the firm increased its stock price target to $130, up from the previous $124. The analyst reiterated its Buy rating on the stock while also providing an updated forecast for fiscal year 2024.

Mizuho’s revised target takes into account new tax assumptions that align with Micron’s guidance and anticipated growth in the AI and High Bandwidth Memory (HBM) sectors. The analyst highlighted several key factors influencing the revised target, including the expectation that HBM pricing will be locked in for 2024 but could see an upside towards the end of the year and into early 2025. Additionally, a significant catalyst is foreseen with the introduction of a 12-Layer 36Gb HBM for a 288GB stack in the first half of 2025.

Mizuho estimates that the market for HBM in 2024 and 2025 could be worth approximately $9 billion and $13 billion, respectively, with potential to increase to about $10-11 billion and $14-15 billion. This market is projected to grow at a compound annual growth rate (CAGR) of around 65% over three years, reaching approximately $17.5 billion by calendar year 2026. The firm’s report concludes by reaffirming its Buy rating and increasing its stock price target to $130, with adjustments made to reflect these insights. This article was generated with AI support and reviewed by an editor. For more information see our T&C.

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