Why DRAM Shortages Are Pushing Micron (MU) Back Into the Spotlight

Micron Technology, Inc. (NASDAQ:MU) is one of the AI stocks currently on Wall Street’s radar.

Intensifying DRAM shortages and sharp DDR5 pricing momentum have pushed memory stock Micron back into Wall Street’s spotlight, reshaping the outlook for the semiconductor memory market. On February 11, Morgan Stanley analyst Joseph Moore raised the price target on Micron Technology to $450.00 (from $350.00) while maintaining an “Overweight” rating.

“As much as happened in the last 12 months in DRAM, we remain excited for what’s ahead,” analyst Joseph Moore wrote in a note to clients. “With another round of significant price increases coming in Q1 and still indications that supply growth in 2026 will do little to alleviate the intense shortage we expect further pricing increases through this year.”

According to the firm, DDR5 spot pricing has already increased 30% year-to-date and currently sits 130% above January contract prices. Mainstream DRAM pricing may potentially double again while still remaining more than 10% below current spot prices. These continue to trend upward.

“Further, we have confidence that mainstream prices may approach that high teens ASP per GB level, as we are seeing buyers who were not early to lock in pricing paying close to that much already.”

The continued pricing momentum reflects how memory makers may remain key beneficiaries of the AI infrastructure cycle.

Micron Technology, Inc. (NASDAQ:MU) develops and sells memory and storage products for data centers, mobile devices, and various industries worldwide.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.