Deutsche Bank believes there’s much reason to celebrate heading into Micron’s next earnings release. The bank raised its price target to $175 from $155, signaling 11% upside from Friday’s close. Analyst Melissa Weathers also reiterated her buy rating on shares of the semiconductor manufacturer heading into Micron’s fiscal fourth-quarter earnings report, scheduled for after market close on Sept. 23. Weathers pointed to supply remaining tight within the dynamic random-access memory, or DRAM, business into 2026. “This supply tightness should result in healthy ASP [average selling price] growth, driving GMs [gross margins] higher (DB sees clear path to > 50% GMs),” the analyst wrote. Weather is encouraged by Micron’s high bandwidth memory business. High bandwidth memory, or HBM, is a type of DRAM. MU YTD mountain MU YTD chart “We believe recent fears around HBM pricing in 2026 to be overblown, and see MU as particularly well positioned to maintain its HBM market share at still-attractive profitability levels. We don’t expect the company to offer much incremental commentary on current HBM contract negotiations given the uncertainty on supply in 2026 + uncertainty of timing of new product launches by customers,” she wrote. “Given the rising importance of HBM in AI applications as well as a vastly favorable supply/demand environment, we see room for upside not only for MU’s estimates, but also its multiple.” Weathers now expects stronger results from Micron following its August guidance update. The analyst currently models fiscal fourth-quarter revenues at $11.5 billion. Consensus estimates sit at $11.1 billion, while the company forecast revenue of $11.2 billion, with a margin of error of $100 million. “Our above-consensus estimates are driven by the view that current memory demand-supply dynamics remain favorable as well as MU’s historical tendency to beat Street revenues estimates,” the analyst added. Shares of Micron have surged 87% this year. ( Learn the best 2026 strategies from inside the NYSE with Josh Brown and others at CNBC PRO Live. Tickets and info here . )
