Barclays Reaffirms ‘Overweight’ Rating on Micron Technology, Inc. (MU) With $140 PT

With a strong EPS growth estimate for the next year and significant hedge fund interest, Micron Technology, Inc. (NASDAQ:MU) secures a spot on our list of the 15 Stocks That Will Benefit From AI.

Barclays Reaffirms ‘Overweight’ Rating on Micron Technology, Inc. (MU) With $140 PT

Carol Gauthier/Shutterstock.com

Barclays’ reaffirmation of its Overweight rating and $140 price target, which reflected optimism regarding improving fundamentals, drove shares of Micron Technology, Inc. higher on August 11. MU raised sales guidance to $11.2 billion from $10.7 billion, with gross margins climbing to 44.5%. Resilient shipment volumes and broad-based price strength across the datacenter, PC, and mobile markets helped lift its EPS projection from $2.50 to $2.85.

However, Barclays noted possible demand pull-forward in mobile devices and PCs. Micron Technology, Inc. emphasized the growing popularity of its HBM3e 12-hi memory, which is outpacing previous 8-hi models in terms of production volume. The company anticipates that supply will be completely sold by 2026.

Through its Micron and Crucial brands, Micron Technology, Inc. creates and markets cutting-edge memory and storage solutions for the data center, PC, mobile, automotive, industrial, and consumer industries worldwide. It is on our list of the Best AI Stocks.

READ NEXT: 11 Best Gold Penny Stocks to Buy According to Hedge Funds and 11 Best Rebound Stocks to Buy According to Hedge Funds.