BofA Near-Doubles MU Price Target to $950 on $1.7T AI Memory TAM

The BofA Reset

Bank of America analyst Vivek Arya near-doubled his price target on Micron from $500 to $950 on Wednesday, citing an upgraded forecast for the AI data center total addressable market — now $1.7 trillion by 2030, up from $1.4 trillion previously. Arya's framing was specific: 'memory supply elasticity is now structurally lower,' pointing to capital, packaging, power, and geopolitical constraints that prevent memory makers from scaling fast enough to clear AI demand.

The same note walked targets higher across the AI chip complex — Nvidia, AMD, Marvell, and Coherent all got bumps — but MU was the headline name. The reaction was textbook: the stock printed a fresh $815.19 intraday all-time high before settling near $804, with the Hyperliquid perp tracking the move tick-for-tick on $139M of 24h volume.

Where the Street Sits Now

BofA's $950 still sits below the Street-high. Deutsche Bank's Melissa Weathers walked her target from $550 to $1,000 on May 11, and DA Davidson's Gil Luria reiterated his own $1,000 target into today's tape. The cluster is the story: three of the most actively followed semis desks have now printed targets within striking distance of the current price after MU posted an 89% month and roughly 150% year-to-date.

The fundamental backstop they're underwriting is unusually clean. Q1 FY2026 revenue printed at $13.64 billion, up 57% year-over-year, with the Cloud Memory Business Unit alone clearing $5.28B at a 55% operating margin. Forward P/E on a stock that just doubled in a month still rounds to roughly 8x.

What to Watch

The next dated catalyst is the May 21 strike vote at Samsung's Pyeongtaek plant, a facility that accounts for roughly half of global DRAM and HBM output. A 50,000-worker walkout would land directly on a market where Micron has already sold out its calendar-2026 HBM4 allocation into NVIDIA's Vera Rubin ramp. That's the asymmetric upside still embedded in the tape.

The asymmetric downside is more mundane: MU is now up 89% in 30 days, and memory cycles historically punish late longs without much ceremony. The structural setup is real and the demand picture is sold out, but the chart is extended enough that price targets are starting to anchor the move rather than chase it.