New York, Jan 7, 2026, 14:36 EST — Regular session
- Micron shares slipped about 1% in afternoon trade after touching $346.24 earlier in the session.
- Micron said it will break ground on a $100 billion New York “megafab” on Jan. 16.
- UBS and Piper Sandler lifted price targets to $400 as investors weigh tight memory supply against a hot run in chip stocks.
Micron Technology shares eased on Wednesday after a sharp early-year run, with the stock down about 1% at $339.90 and swinging between $335.10 and $346.24.
The pullback comes a day after memory and storage names ripped higher on fresh AI optimism out of CES, sending Micron and peers such as SanDisk, Western Digital and Seagate to record highs. Reuters
Why it matters now: investors are trying to price a chip cycle that looks less like the old boom-and-bust pattern, just as U.S. labor data reshapes rate-cut bets. Job openings fell more than expected in November, a sign hiring demand is cooling even before Friday’s payrolls report. Reuters
Micron added its own catalyst on Wednesday, saying it will officially break ground on Jan. 16 on its megafab in Onondaga County, New York, calling it a $100 billion project and “the largest semiconductor manufacturing facility in U.S. history.” Chief executive Sanjay Mehrotra said the groundbreaking was “a pivotal moment” for Micron and the United States. Micron Technology
On the forecast side, UBS lifted its price target to $400 from $300 and reiterated a buy rating after meetings with Micron management. UBS pointed to what it called “severe supply shortages” and said the company is meeting only about 50% to 75% of key customer demand, arguing that could support an “extended and durable memory upcycle.” Investing
Piper Sandler also raised its target to $400 from $275, keeping an overweight rating. The firm flagged that calendar 2026 supply is “effectively sold out,” and said pricing for high-value products such as HBM4 would be “value derived.” HBM is high-bandwidth memory, a high-speed form of DRAM (dynamic random-access memory) used alongside AI processors. TipRanks
Not everyone’s model has caught up. MarketWatch data shows an average target price of $316.97 across 44 ratings, below where the stock is trading now — a reminder that the consensus forecast still leans toward normalization after the surge. MarketWatch
But the trade can still go sideways. Memory pricing can turn fast if cloud and PC demand slips, or if rivals such as Samsung and SK Hynix add capacity quicker than expected. Big buildouts also bring execution risk and the chance that capex soaks up cash at the wrong point in the cycle.
What’s next: Friday’s U.S. Employment Situation report is due at 8:30 a.m. ET, a likely volatility trigger for high-multiple chip names, and Micron’s New York groundbreaking lands Jan. 16. Investors are also watching Micron’s next earnings report, expected around March 18, per Yahoo Finance’s earnings calendar. Bureau of Labor Statistics
