Micron Stock Price Forecast: $250 Billion Investment Plan Boosts Sentiment, Stock Price Expected to Rise to $1,400 in July

The core reason for Micron's stock price increase on Thursday was the company's announcement that it will expand its US investment plan. Micron stated that it will increase its investment scale in the US to more than $250 billion by 2035, with funds to be used for advanced memory manufacturing, R&D, US supply chain development, and capacity layouts in locations such as New York, Idaho, and Virginia.

Micron also stated that the investment plan will support its long-term goal of producing approximately 40% of its DRAM in the US in the future. Meanwhile, Micron's Clay fab in New York has completed its first concrete pour, with progress running more than a quarter ahead of schedule, marking the project's transition from early site preparation to the vertical construction phase.

From a market perspective, the investment plan of over $250 billion demonstrates Micron's long-term confidence in AI memory demand. Furthermore, the expansion of domestic US manufacturing helps enhance supply chain security, lower geopolitical risks, and makes it easier to secure support from policies, customers, and long-term orders.

From the financial results, Micron's fundamentals have clearly entered a high-growth phase. The company's fiscal third-quarter revenue for 2026 reached $41.456 billion, far higher than the $9.301 billion in the same period last year; non-GAAP EPS was $25.11, also a significant increase from the $1.91 in the same period last year. More importantly, the company expects fourth-quarter revenue to reach around $50 billion, with non-GAAP EPS of approximately $31, indicating that AI memory demand continues to materialize.

However, investors also need to note that ultra-large-scale investment itself is a double-edged sword. On one hand, capacity expansion can help Micron seize the AI memory supercycle; on the other hand, the $250 billion investment means that long-term capital expenditure pressure will also rise significantly. If AI capital expenditures slow down in the future, or if the price increases of DRAM and NAND moderate, the market may renew concerns over excessively rapid supply expansion in the memory industry, thereby compressing valuations. Therefore, whether Micron's stock price can continue to rise going forward depends not only on the scale of investment, but also on whether HBM orders, long-term customer agreements, and memory prices can continue to support upward earnings revisions.

Micron Technology daily stock chart, Source: TradingView

Looking at Micron's daily chart, after hitting an all-time high of $1,255, the stock price began a continuous correction, retesting the $900 mark twice in a row this Tuesday and Wednesday. However, the closing prices for both trading days held firmly above $900, indicating strong support at this level. Subsequently, driven by positive news, the stock price gapped higher yesterday, with the closing price finishing above the $960 resistance level, suggesting that the short-term correction may have ended.

At present, the primary overhead resistance level to watch is $1,050. If the stock price breaks out and holds above this level, the next upside target to watch will be $1,150, and further up, the all-time high of $1,255. If the stock price can strongly break to a new all-time high, the upside potential toward the Fibonacci 1.618 extension level of $1,468 will be opened.

On the downside, if the stock price remains under pressure below $1,050, it may continue to test the $900 psychological level in the short term. If it breaks below $900, the stock price could further decline toward the $850 area.

This content was translated using AI and reviewed for clarity. It is for informational purposes only.