Micron Technology(US:MU) Zhi Tong Cai Jing·2025-12-15 13:40Core Viewpoint - Micron Technology (MU.US) is set to report its Q1 earnings on December 17, with adjusted earnings per share expected at $3.83 and revenue forecasted at $12.72 billion. The company's stock has risen 176% year-to-date, prompting Wedbush Securities to maintain an "Outperform" rating and raise the target price from $220 to $300 [1] Group 1: Earnings Expectations - Wedbush analysts have raised their Q1 expectations slightly above Micron's initial forecast, anticipating significant benefits from rising memory prices, with DRAM prices expected to increase by at least 30% and NAND prices by at least 20% [1] - Deutsche Bank has increased its earnings per share forecast for Micron for FY2026 by nearly 26%, now expecting $20.63 per share, up from a previous estimate of $16.41 [2] - Deutsche Bank also raised its annual revenue forecast by 12%, from $53.2 billion to $59.66 billion [2] Group 2: Market Position and Challenges - Micron has emerged as a leader in the storage sector, particularly in the DRAM and HBM chip markets, which are currently experiencing high prices and strong demand [1] - The memory shortage has been identified as a growing issue for high-end AI server suppliers, including Dell, which has reported rising memory costs and challenges due to shortages [1] - HSBC has initiated coverage on Micron with a "Buy" rating and a target price of $330, noting that the stock has outperformed the Nasdaq index [2] Group 3: Analyst Sentiment - Analysts from multiple investment banks, including Goldman Sachs and Morgan Stanley, have expressed bullish outlooks on Micron's performance, predicting it will exceed Wall Street's general expectations [2] - HSBC's analyst highlighted that despite recent stock price declines due to market concerns over financial risks from new cloud service providers, the current moment is seen as a good opportunity to accumulate shares [2]