Wall Street is raving about Micron earnings as one of the biggest-ever surprises for a chipmaker

• Micron Technology's latest earnings blew Wall Street away.
• The chipmaker beat on both earnings and revenue, and signaled strong demand ahead.
• Morgan Stanley described the results as one of the biggest upside surprises ever for the chip sector.

After weeks of AI-driven market malaise, tech stocks got a boost from Micron Technology on Thursday, and Wall Street couldn't be happier.

The chipmaker posted its first-quarter results on Wednesday, coming in above analyst estimates for both earnings per share and revenue, and providing robust guidance for the coming year. Micron stock surged as much as 14% on the news, with top analysts cheering the results as one of the biggest positive surprises to come out of the semiconductor space.

"Outside of NVIDIA this was likely the best revenue/$net income upside in the history of the US semis, industry," Morgan Stanley analysts wrote. The bank reiterated Micron as a top stock pick and boosted its price target to $350, implying about 38% upside.

Other analysts across Wall Street largely agreed with Morgan Stanley.

"We are raising our FY26/27/28 pf-EPS by 62%/80%/42%, translating into CY26/27E pf-EPS at $37.25/$37.00, also up over 70%
from prior forecast and upgrade to Buy from Neutral. Raise PO to $300 from $250 on 2.3x CY27 P/B, a more mid-cycle level on balance between stronger memory demand offset by more moderate model leverage going forward," stated Bank of America in a note follwoing the company's results.

The strength of the AI trade has raised some concern recently, weighed down by names like Oracle and CoreWeave, which have become symbols of what investors see as excess enabled by years of market exuberance.

Micron's progress is a badly needed indicator that AI demand isn't slowing down. The 69% surge in revenue from its dynamic random access memory (DRAM) chips, a key component of AI servers, was a particular high note.

Mizuho Americas analyst Vijay Rakesh reiterated an Outperform rating and raised the bank's price target from $270 to $290, noting that DRAM chip prices are essentially doubling since the previous quarter.

BNP Paribas's Karl Ackerman is also highly bullish on Micron stock following the earnings smash. He reiterated a $270 price target, implying 20% upside potential from stock price of $225, citing growth potential for both Micron's DRAM and NAND flash memory chips.

"For CY26, Micron expects industry DRAM and NAND demand to both grow ~20% Y/Y," he noted. "On the supply side, Micron expects to increase their bit supply for DRAM and NAND by 20%."

Paul Meeks, managing director and head of technology research, at Freedom Capital Markets, also predicted significant upside in Micron stock.

"I'm somewhat contrarian here, but I believe the AI infrastructure build-out continues for at least another year, likely two," Meeks said. "That suggests upside to earnings estimates, which are already annualized at about $34 per share. A $300 price target looks achievable, and it could even go higher."

Micron's blockbuster earnings cap an extremely strong year for the chip company. The stock is often overshadowed by larger rivals such as Nvidia and AMD, but it has substantially outpaced them both in 2025. Micron stock is upalmost 200% year-to-date, compared to 28% for Nvidia and 65% for AMD.