Micron Technology Stock Forecast: Predicted Price for 2026

Micron Technology (MU) has experienced a remarkable resurgence in 2026, with its stock price soaring over 228% thus far. This dramatic increase in value is linked to the company’s impressive revenue and earnings growth, driven by a robust demand-supply environment in the memory chip sector.

Outstanding Financial Performance

Micron’s fiscal year 2026 has started strong. In its first quarter, which ended on November 27, the company reported a remarkable year-over-year revenue growth of 57%, totaling $13.6 billion. The non-GAAP operating margin also saw a substantial increase, rising by 7.5 percentage points to reach 35%. Consequently, adjusted earnings jumped 167%, standing at $4.78 per share.

Forecast for FY 2026

Looking ahead, Micron has forecasted even more impressive figures for the current quarter. The company expects revenue to surge by 132% year-over-year, reaching $18.7 billion. Furthermore, non-GAAP earnings are projected to climb by 440%, anticipated to hit $8.42 per share.

Market Dynamics Favoring Micron

• The increasing demand for artificial intelligence (AI) accelerators in data centers is propelling server memory requirements.
• A shortage of memory chips is leading to inflated prices, with Samsung reportedly raising chip prices by 60%.
• According to Counterpoint Research, the price of server memory could double by the end of 2026.

Production Capacity and Capital Expenditure

Micron and other memory manufacturers are responding to this rising demand by increasing production capacity. The company has raised its fiscal 2026 capital expenditure forecast to $20 billion, up from the previous estimate of $18 billion. This is a significant increase from the $13.8 billion spent in the previous fiscal year.

However, even with this increased investment, Micron’s CEO Sanjay Mehrotra indicated that the company would only be able to meet 50% to two-thirds of demand from key customers, emphasizing the enduring favorable demand-supply dynamics.

Investor Outlook for 2026

Consensus estimates suggest that Micron’s earnings per share could soar by 284% in the current fiscal year, potentially reaching $31.88 per share. Given that the company already achieved $4.78 per share last quarter, the remaining three quarters would need to deliver $27.10 per share to meet this target.

If Micron can maintain a growth rate of 100% for its earnings in the first quarter of fiscal 2027, projected earnings for the next four quarters could reach approximately $36.66 per share. Utilizing the Nasdaq-100 index’s forward earnings multiple of 25, this could position Micron’s stock price at an astonishing $916 within a year, more than triple its current value.

Conclusion

Given Micron Technology’s robust growth prospects and the favorable conditions in the memory chip market, investors may find the current stock price attractive for potential significant gains in 2026. It presents an opportune moment for investment, considering its impressive growth trajectory.