Key Takeaways
- Mizuho Securities upgraded price targets for five technology companies: Micron, SanDisk, Dell, Arm Holdings, and On Semiconductor
- Micron’s price target surged to $1,150 from $800; SanDisk’s increased to $1,825 from $1,625
- Agentic AI technology is projected to fuel 9%–13% additional DRAM demand expansion
- High bandwidth memory sector anticipated to expand 90% from 2025 through 2028
- Mizuho identifies Micron as its preferred investment choice in memory semiconductors
Mizuho Securities announced elevated price targets for five technology sector companies on Wednesday, pointing to robust memory chip demand and the accelerating influence of agentic artificial intelligence throughout the semiconductor industry.
The upgraded companies include Micron Technology, SanDisk, Dell Technologies, Arm Holdings, and On Semiconductor. Mizuho maintained its Outperform rating across all five stocks.
Micron received the most significant percentage increase in its price target, climbing from $800 to $1,150. SanDisk’s objective advanced from $1,625 to $1,825. Dell’s target climbed from $300 to $350, Arm’s increased from $290 to $360, and On Semiconductor’s rose from $130 to $150.
Vijay Rakesh, the lead analyst, authored the client communication. He designated Micron as Mizuho’s preferred selection within the memory chip sector.
Agentic AI Accelerates DRAM Requirements
According to Mizuho, agentic AI technology is generating between 9% and 13% in additional DRAM requirements. The investment firm anticipates year-over-year DRAM demand expansion reaching 30% or higher.
Nvidia’s forthcoming Vera Rubin platform contributes significantly to this trend. It features triple the LPDDR5 content relative to the Grace chip, amplifying overall memory requirements.
The total addressable market for high bandwidth memory is projected to surge 90% between 2025 and 2028. Mizuho identified content expansion and favorable pricing dynamics as primary catalysts.
NAND demand continues showing resilience. The firm indicated that enterprise SSD and KV Cache requirements remain robust, with supply conditions expected to become more constrained heading into 2027.
Micron’s Financial Projections Impress
Mizuho forecasts Micron’s fiscal 2027 revenue will climb 70% on a year-over-year basis. Earnings per share are anticipated to expand 85% during the identical timeframe.
The firm’s fiscal 2028 EPS projection exceeds Wall Street consensus by 41%. This differential stems from expectations of constrained supply conditions and sustained pricing power.
High bandwidth memory is expected to represent 23% of Micron’s fiscal 2028 revenue. Mizuho also predicts HBM pricing could increase 70% to 100% year-over-year in calendar 2027.
Micron’s stock has surged 832% throughout the past year to approximately $928. The updated $1,150 price objective represents roughly 10 times the firm’s fiscal 2027 earnings per share projection.
Additional analysts have similarly been elevating their targets. UBS increased its Micron target to $1,625, and Barclays raised its objective to $1,175 following the announcement of a five-year strategic customer partnership.
Mizuho further observed that major non-AI customers for memory semiconductors remain 30% to 50% undersupplied. This indicates demand breadth extends beyond AI workloads.
Micron recently achieved a $1 trillion market capitalization milestone for the first time and commenced production of next-generation DRAM at its Manassas, Virginia manufacturing facility.
