DA Davidson Analyst Sets Micron Price Target at $3,000

Gil Luria, an analyst at DA Davidson, raised the price target for Micron Technology to $3,000 per share, suggesting the stock could nearly triple within a year. Luria argues that memory chips have evolved from commodities into essential, non-fungible components of the artificial intelligence ecosystem, which justifies a valuation multiple of 19 times fiscal 2027 earnings estimates.

Luria contends that the market has not yet acknowledged that Micron is on a growth trajectory for the next three to five years. To mitigate traditional cyclical volatility, Micron has shifted its business model toward long-term supply commitments. Chief Financial Officer Mark Murphy stated that margins are expected to remain meaningfully above any prior cycle peaks, even at floor prices.

While some analysts agree the stock is undervalued, others express skepticism regarding the scale of a 200% increase. Critics note that current LSEG consensus earnings estimates are already higher than those used in Luria's projection, suggesting the market has already priced in significant growth.