Micron stock rises 30% from recent low as analysts project another 60% upside

Micron Technology has clawed back 30% from its late-July trough, climbing from around $739 on July 29 to roughly $967 by August 21. That kind of bounce would be headline-worthy for most stocks. For Micron, it barely gets the share price back into the neighborhood of where it was trading before a summer selloff knocked it more than 20% below its June peak near $1,255. The recovery isn’t just vibes. It’s anchored to fiscal third-quarter results that were, by any reasonable standard, absurd: revenue of $41.46 billion, representing a 346% increase year-over-year, and non-GAAP earnings per share of $25.11. The numbers behind the rally Gross margins have expanded to approximately 85%. The margin profile reflects just how tight supply conditions have become in both DRAM and high-bandwidth memory (HBM), the two product categories driving Micron’s transformation. The company has also locked in over $22 billion in strategic multi-year customer commitments for memory contracts. Those deals function as a kind of revenue floor, giving Micron visibility into future demand that semiconductor companies historically haven’t enjoyed. Even after the 30% rebound, MU’s year-to-date performance exceeds ...