Farewell to Cyclical Stocks? Micron Target Prices Hiked by Banks, Surges 8% Pre-Market

TradingKey - Driven by the resonance of multiple strong bullish factors, memory chip giant Micron Technology ( MU) saw an explosive rally in today's pre-market trading, with the stock price soaring over 8% to $1,061. The immediate catalyst for this stellar performance is the recent series of intensive and significant upward revisions to the company's valuation expectations by several top-tier Wall Street investment banks.

TD Cowen hiked its price target for Micron Technology from $660 to $1,500, more than doubling it. This was followed by RBC Capital Markets, which significantly raised its price target from $525 to $1,200.

Furthermore, Aletheia Capital joined the bullish camp, not only raising its price target from $650 to $1,600 and maintaining a Buy rating, but also making a noteworthy adjustment—shifting its valuation framework from the traditionally used historical peak P/B ratio model to a P/E model based on 2027 calendar year forecasts.

This methodological shift itself sends a signal that analysts are beginning to view the memory chip manufacturer as a growth technology company, rather than continuing to frame it within a cyclical stock valuation system.

Additionally, Aletheia Capital explicitly stated in its report that memory prices are expected to rise 30% to 40% quarter-on-quarter in the third calendar quarter of 2026, and by 2027, the average selling price of High Bandwidth Memory (HBM) will more than double from current levels.

This is driven by the near-insatiable demand for high-end memory products from the construction of AI infrastructure, and Micron Technology stands right at the center of this wave.

Meanwhile, Micron Technology's fiscal 2026 third-quarter earnings report is scheduled for release on June 24. These rating upgrades, coming just before the earnings window, have further pushed market expectations to a high point.

At the same time, the U.S. and Iran reached a preliminary agreement to end their conflict and reopen the Strait of Hormuz. This major geopolitical breakthrough has directly ignited market risk appetite.