Goldman Sachs sharply raises Micron target price to $900

Odaily Planet Daily News Goldman Sachs released a report, expecting that continued market tightness will drive Micron's performance to significantly exceed market consensus expectations and company guidance. The firm had previously raised its overall industry outlook and expects the tight conditions to persist through the entire fiscal year 2027, leading to higher pricing and profit margins for the industry.

Given the substantial stock price appreciation and potential optimism from long-term customer agreements, investor positioning remains very bullish. Goldman Sachs expects Micron's revenue for the third fiscal quarter ending in May to be approximately 9% above market consensus, and driven by rising pricing, it anticipates significant sequential revenue growth in the final fiscal quarter ending in August.

The firm expects last fiscal quarter's revenue, gross margin, and earnings per share to be $37.6 billion, 83.4%, and $22.07, respectively, compared to market consensus of $34.4 billion, 81.9%, and $19.74. For fiscal year 2026, Goldman Sachs' revenue/earnings per share estimates are 30% and 36% above market consensus. Goldman Sachs raised its target price for Micron from $400 to $900, with a "Neutral" rating. (Jin Shi)