Last Update 18 Mar 26
Fair value Increased 38%I am not in the field, just a random office worker. Earnings will beat tomorrow. Estimated price target; 550 by July, 600+ EOY.
I am NOT an expert. The only point I make is that all of the recent price targets published were PRIOR to the earnings announcements, many of which put a $300 price target, before the blowout earnings numbers were known. Doing a very simple comparison, if the market pushed the share price to 265/Dec 10 with some anticipation, followed by a drop to 225/Dec 17 due to trepidation of the AI space in general, as well as a fear of the general punishment of earnings in this market, current price of 315 is very light. That is a P/E of 9.6 for '26 (estimated avg consensus I see is 32.87), with '27 at 41.88 giving a P/E of 7.52.
If you apply a general 15x multiplier for P/E of '26 @ 32.87, the implied share price is 493.
'27 at 41.88 x 15 = 628
The real question is how long pricing power lasts. They are sold out for 2026, but i do not know about '27's status in terms of sales, pricing power, and demand. More capacity is already planned and being built (increased capex) but I do not know how soon that will be online. I also do not know if the AI march will continue, but all current signs are that it will.
I may be reiterating what analysts have said, but Micron appears essentially de-risked for the immediate future, and is underpriced as well. I have no qualms putting a conservative 400 price target on this in the next 3-4 months, if not sooner.
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