Micron's price target boosted to $1,500 at Deutsche Bank - Seeking Alpha

Deutsche Bank raised Micron Technology's (MU) price target from $1,000 to $1,500, a 50% increase, citing strong AI-driven demand for DRAM and favorable pricing trends. The bank maintained its Buy rati... Read original →

Deutsche Bank’s aggressive $1,500 price target for Micron reflects not a cyclical rebound but a structural shift: AI infrastructure demands high-bandwidth, low-power DRAM as a core enabler. This accelerates adoption of HBM and LPDDR5X in servers, forcing co-evolution in EDA, advanced packaging (e.g., InFO-RDL), and test equipment. Geopolitically, U.S. export controls shield Micron’s premium pricing short-term but incentivize Chinese customers to fast-track CXMT, fragmenting the memory supply chain. Facing SK Hynix and Samsung’s HBM3E lead, Micron must lock in strategic deals with NVIDIA or Microsoft to secure margin premiums. While AI server DRAM bit demand may surge >40% YoY over the next 18 months, CXL-based memory pooling could erode standalone DRAM’s indispensability by late 2027—making today’s valuation a bet on a narrowing window of architectural dominance.