Wall Street is becoming more confident in Micron Technology (MU).
A Melius analyst now says the chipmaker could become the sixth-largest public company in the United States.
That would make it worth more thanBroadcom (AVGO) and even Taiwan Semiconductor (TSM).
The analyst’s claim is a bold one for a company most people know only as the maker of the memory chip in their laptop.
So here is the real question. Is this a real shift in how the business works, or a target that only holds while the AI boom is still hot?
The $2,200 Micron price target that started the noise
The forecast comes from Ben Reitzes, a 4.7-star analyst at Melius Research who set a $2,200 price target on Micron.
At that level, the stock would carry a market value of roughly $2.5 trillion, The Motley Fool noted. That would rank Micron sixth among all U.S. public companies, ahead of Broadcom and TSMC.
The pace of the target upgrade stands out, as Reitzes raised it three times in about two months.
Here is how quickly the conviction built:
- April 27, 2026: Coverage opens with a buy rating and a $700 target.
- May 18, 2026: The target moves to $1,100 as memory pricing climbs.
- June 25, 2026: The target doubles to $2,200, the Street’s highest.
Why Melius thinks Micron’s memory business changed for good
The basis of Melius’ price target increase is high-bandwidth memory, or HBM.
HBM is a premium version of DRAM that sits next to AI chips and feeds them data fast enough to keep up.
Every advanced AI system needs HBM, and Micron is the only major U.S.-based maker of these parts.
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Reitzes told clients Micron’s quarter reframed the entire memory cycle, rather than delivering just another earnings win, TipRanks noted.
The demand is already set. Micron’s memory capacity is sold out well into 2027, and the company secured about $100 billion in long-term customer agreements.
So what does that mean for the old boom-and-bust worry?
Memory stocks used to be dangerous because prices crashed the moment supply caught up. However, Multi-year contracts with fixed minimum prices soften that risk and give Micron the kind of revenue visibility that growth investors are willing to pay up for.
The Micron earnings numbers back the bullish thesis
The price target is based on a notable quarter.
In its fiscal third quarter, Micron posted revenue of $41.46 billion, up about 346% from a year earlier.
Gross margin also reached a record 84.9%, a level that now tops Nvidia‘s, according to an SEC release.
The stock has followed the story closely:
- Micron is up about 263% in 2026, while the S&P 500 has gained roughly 10%.
- Over the past year, the shares have climbed more than 700%.
- Management guided next-quarter revenue to about $50 billion, above analysts’ expectations.
Where the $2.5 trillion Micron valuation could break down
A target this bold assumes almost everything keeps going right, so it helps to know what could go wrong before you act.
Not everyone is convinced about Micron. Investor Michael Burry has built a short position against the AI chip trade, and Citi has also flagged a crack in the demand story.
The risks worth watching before you buy Micron stock
- Overcapacity: If Micron and rivals like SK Hynix build too fast, a future supply surplus could crush prices.
- Concentration: Demand is driven by a handful of hyperscaler customers. If their spending slows, so does the pricing boom.
- Valuation: Much of the thesis depends on AI growth multiples holding, not on today’s market value.
What the Micron call means for your next move
A $2,200 target is one analyst’s best case, not a guaranteed outcome. It works only if AI memory demand stays tight and those long-term contracts hold their prices.
If you already own Micron, watch two things: whether HBM stays sold out into 2028, and whether pricing holds when new capacity comes online.
If you are buying in fresh, keep the position small enough to handle the big price swings this stock has shown. Also, treat the highest targets as a sign of analysts’ confidence, not a promise that the price won’t fall.
Related: Wall Street flees software plays for triple-digit chipmaker boom
