Micron Technology faces high demand for AI memory chips ahead of earnings

Micron Technology is approaching its fiscal fourth-quarter earnings report amid a massive surge in demand for artificial intelligence infrastructure. Analysts are closely monitoring the company’s performance, particularly regarding High Bandwidth Memory (HBM) and DRAM products, which are seeing significant shortages due to the AI boom.

UBS has set a price target of $1,625 for Micron, citing a potential 50 percent upside from recent levels. Similarly, BMO Capital maintains a buy recommendation with a $1,300 target, suggesting that global demand for memory may outstrip supply through 2027. Market expectations for the upcoming quarter include revenue of approximately $51 billion to $52.4 billion and earnings per share between $31.50 and $32.50.

Micron has secured its supply chain through 16 strategic customer agreements containing take-or-pay provisions, representing roughly $22 billion in commitments. While the company’s HBM supply for 2026 is already sold out, some analysts are watching for potential revenue shifts into fiscal 2027 depending on the production ramp schedules of major customers like Nvidia.