Micron Technology (NASDAQ: MU) saw its price target lowered from $510 to $425 by Citi on Tuesday, March 30, albeit with a reiterated “Buy” rating.
The bank cited the recent pullback in RAM prices as the reason for the price cut, noting that, for instance, mainstream DDR5 16GB RAM prices are down 6% since Micron’s last earnings report on March 18.
However, the analysts also admitted that cheaper technology has historically tended to increase demand, meaning the figures alone are not the full story. Accordingly, Citi left its earnings forecasts unchanged.
Google’s TurboQuant could affect Micron stock
Micron shares are down 30% since the last earnings report, largely due to a combination of profit-taking after a sharp rally, rising capital expenditures, and concerns that margins may have already peaked.
Now, Citi argued, another factor has come into play – the launch of Google’s new artificial intelligence (AI) algorithm, TurboQuant. Specifically, Malik expects TurboQuant to have an effect similar to DeepSeek, ultimately boosting overall demand. Nonetheless, he stated that the recent price declines could in part be due to concerns surrounding the new product.
Wall Street’s Micron stock consensus
Meanwhile, the broader analyst consensus on MU shares remains highly optimistic, with an average price target of $533.4, which implies a potential 66% upside based on the numbers presented by TipRanks.
MU stock price target. Source: TipRanksOverall, Micron stock enjoys a “Strong Buy” rating, resulting from twenty-six “Buy” recommendations and just two “Holds.”
Furthermore, the stock has seen no other price cuts this month, as most investment firms have either maintained existing projections or increased them. For example, UBS upped its MU stock price target from $475 to $510 on March 19, while Wells Fargo analysts increased theirs from $470 to $550.
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Source: https://finbold.com/wall-street-sets-micron-stock-price-target/
