Memory and Data Storage Stocks Surge on AI Demand Optimism
Memory chip manufacturers and data storage providers rallied sharply in Monday trading, fueled by bullish analyst projections for AI-driven demand. Micron Technology led the charge with a 7% gain to $254, while Western Digital and Seagate Technology joined the S&P 500's top performers.
Mizuho analysts highlighted Micron's high-bandwidth memory chips as particularly well-positioned, maintaining a $265 price target through 2027. The firm anticipates pricing power and margin expansion as AI hardware requirements escalate across data centers and edge computing applications.
Wall Street consensus remains overwhelmingly positive, with 90% of tracked analysts maintaining buy ratings on Micron. The stock's rapid appreciation has already surpassed mean price targets, reflecting the market's aggressive repricing of AI infrastructure plays.
