Micron just got a fresh AI hype boost

The AI trade is still doing push-ups

Micron woke up Wednesday with a little extra swagger. Shares climbed in premarket trading after analysts turned more bullish on the memory-chip maker, arguing that AI infrastructure spending is still flowing and that supply for DRAM and NAND isn’t getting loose anytime soon.

That matters because Micron lives and dies by memory pricing, and right now the market is basically saying: “Congrats, the buffet is still open.” When analysts get more confident about pricing power, investors usually start imagining fatter margins, bigger earnings, and a stock chart that looks less like a ladder and more like a trampoline.

The target hikes are doing the heavy lifting

Two calls stood out:

• Melius Research raised its Micron target to $1,100 from $700.
• BofA Securities lifted its target to $950 from $500.

Their logic is pretty straightforward. AI data centers need a ton of memory. Add in packaging bottlenecks, power constraints, geopolitical headaches, and the usual semiconductor supply drama, and you get a market where chips can stay tighter than a pair of jeans after Thanksgiving.

Why the big cloud names matter

Micron isn’t just riding a solo wave here. The article points to heavy AI infrastructure spending from Microsoft, Amazon, Alphabet, and Oracle as a reason memory demand could stay strong for years. In other words, the hyperscalers keep building, and Micron keeps getting invited to the party.

The catch: expectations are getting huge

The stock was already up 4.25% to $728.42 in premarket trading, which means a lot of optimism is already baked in. Great news for the bulls, but also a reminder that when everyone crowds into the same trade, even tiny disappointments can cause a very unfun game of musical chairs.

Big picture: Micron is one of the cleanest ways to play the AI buildout — but the higher the targets go, the less room there is for investors to pretend they’re early.