Wells Fargo analyst Aaron Rakers has maintained their bullish stance on MU stock, giving a Buy rating yesterday.
Aaron Rakers has given his Buy rating due to a combination of factors that suggest a promising outlook for Micron. The company is expected to benefit from continued momentum in high-bandwidth memory (HBM) and data center demand, which are anticipated to drive growth in the mid to second half of 2025. Additionally, Rakers believes that consumer markets are stabilizing with normalized inventory levels, which could further enhance Micron’s performance.
Despite a projected decline in gross margins for the third quarter of 2025 due to a higher consumer mix and weak NAND conditions, Micron still anticipates growth in bit shipments and revenue. The company’s strategic positioning in the HBM market, with expectations of a significant market share increase, and its roadmap for future product developments, such as HBM4, contribute to the positive outlook. These factors collectively create a compelling risk/reward scenario that supports the Buy rating.
In another report released yesterday, Wolfe Research also maintained a Buy rating on the stock with a $150.00 price target.
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