Morgan Stanley is optimistic about the continuous strength of DRAM prices, and has significantly raised its target price for Micron Technology (MU.US) to $220.

Morgan Stanley upgraded Micron (MU.US) from "hold" to "buy" and raised its target price from $160 to $220. The reason for this rating adjustment is that the price of core DRAM products has been rising beyond market expectations. According to Morgan Stanley's latest research on DRAM and NAND channels, strong demand for servers and storage solutions has led buyers to express concerns about product supply for the full year of 2026, with supply expected to remain tight in the coming quarters. The firm points out that server memory products, including DDR5 solutions, are expected to see double-digit price increases in the fourth quarter of 2024 and the first quarter of 2025, indicating that current market forecasts may be conservative. Despite recent strong performance by Micron Technology, Inc., Morgan Stanley believes there is further upside potential for its stock price. Micron Technology, Inc. is a leading semiconductor technology company known for its innovative memory and storage solutions, offering a variety of memory and storage products including high-performance DRAM, NAND, and NOR.