Micron Technology’s (Micron Technology) stock price fell 10% at the close on June 23. On the same day, Bank of America raised its target price for the company from $950 to $1,500. The rationale for the increase is that the projected global semiconductor addressable market (TAM) for 2030 was raised to $2.7 trillion, driven mainly by strong growth in the memory and data center chip markets, accelerated AI spending, and the recovery of the automotive and industrial markets.
Breakdown of the target price increases by Bank of America and other analysts
Over the past month, multiple major institutions have repeatedly raised their target prices for Micron:
Bank of America (BofA): In May, the target was raised from $500 to $950; on Tuesday it was raised again to $1,500 (a 58% increase). This time the reason cited was that the semiconductor TAM was raised to $2.7 trillion and AI spending is accelerating.
TD Cowen (June 15): Raised from $660 to $1,500, citing strength in the CPU market.
Wedbush: Raised from $550 to $1,300, citing rising NAND flash memory and DRAM prices this quarter.
Raymond James (analyst Melissa Fairbanks): Raised from $530 to $1,100, citing unprecedented demand in the memory industry and well-managed capacity.
Disclosed terms of Micron’s strategic partnership with Anthropic
On June 22, 2026, Micron Technology announced a strategic partnership with Anthropic. The disclosed terms include: a multi-year supply agreement for high-bandwidth memory (HBM), DRAM, and solid-state drives (SSD); Micron Technology will fully adopt Anthropic’s Claude model in its operations; Micron Technology will make a strategic investment in Anthropic’s H-round financing.
Both sides said the cooperation aims to jointly optimize memory and storage systems to support AI training and inference workloads, improving performance, energy efficiency, and overall AI economic benefits.
Q3 earnings analyst forecasts and annual stock performance data
Q3 earnings will be released after the close on Wednesday (June 25). Analyst forecasts are: Q3 EPS of $20.28 (vs. $1.91 in the same period last year); Q3 revenue of $35.3 billion (vs. $9.3 billion in the same period last year). Micron Technology’s year-to-date stock price has gained 283%, significantly outperforming the broader market; over the same period, the semiconductor sector rose 170%. After BofA’s May adjustment, Micron’s stock price has already risen 36%; the current price is far above the prior $950 target.
Frequently asked questions
Why is Micron’s stock still down 10% despite analysts raising their targets one after another?
The report did not explain the exact reason for the decline, but after multiple institutions sharply raised their targets, profit-taking and technical pullback are common patterns. In addition, since Q3 earnings are scheduled to be released after the close on Wednesday, some investors may choose to reduce their positions before the results are published.
What is the basis for BofA raising semiconductor TAM to $2.7 trillion this time?
According to BofA’s analysis, the increase in the semiconductor market’s total addressable size is mainly due to strong growth expectations for the memory and data center chip markets, as well as accelerated growth in AI-related spending. The recovery of the automotive and industrial markets was also listed as an additional supporting factor—these two markets have been relatively weak in recent years.
How large is Micron’s multi-year HBM supply contract with Anthropic?
Based on publicly disclosed information, the collaboration announced by Micron on June 22 includes a “multi-year supply agreement for high-bandwidth memory (HBM), DRAM, and solid-state drives,” but the specific contract value and annual procurement scale were not disclosed in the announcement.
