Morgan Stanley Doubles Micron's Price Target to $1,050, Raises SanDisk to $1,750 Amid 2-3 Year Memory Shortage

According to Morgan Stanley's latest report, the brokerage doubled Micron Technology's (MU-US) price target to $1,050 from $520 and raised SanDisk Corporation's (SNDK-US) to $1,750 from $1,100. The firm forecasts memory chip demand will outpace supply for 2-3 years, driven by AI infrastructure buildout, with analyst Joseph Moore citing DRAM supply constraints as the key growth bottleneck.

Morgan Stanley projects DRAM prices will rise 40% year-over-year in May and 15% in August, lifting Micron's FY2026 and FY2027 EPS forecasts by 4% and 48% respectively, and SanDisk's by 12% and 24%. Despite Micron and SanDisk gaining 242% and 564% year-to-date, both trade below 10x forward P/E ratios, signaling further upside potential.