Baird Upgrades Micron Technology: Semiconductor Maker Surges 4.8% on DRAM Pricing and Industry Outlook Boost
On Monday, Baird upgraded Micron Technology and raised its price target after citing significant upside opportunities for the semiconductor maker. This move was driven by the fact that DRAM chip pricing has been increasing, and supply growth is expected to slow.
Baird Senior Research Analyst Tristan Gerra noted that Micron shares appear attractive after a recent pullback, despite accelerating demand trends for DRAM chips. He mentioned that DRAM chip pricing is stronger than expected and supply growth is projected to decrease across the industry. Gerra also acknowledged that the upgrade should have come sooner, as Baird was “catching the train a bit late.”
As a result of this news, shares of Micron Technology surged by 4.8% to $120.18 as of 1:46 p.m. ET on Monday. This surge brought it close to an all-time high of $130.54 on April 4 before slightly retracting earlier in the day. To date, Micron’s stock has increased by over 40% so far this year.