Micron Growth Slowdown Seen as Favorable for Pricing and Margins, Stifel Says

Micron Technology's rapid growth pace is expected to moderate, but Stifel analyst Brian Chin said slowing shipment growth may be offset by sustained high prices and margins. Micron shares (MU) rose 2.8% on Monday, closing at $1,044.34, as investors await fiscal fourth-quarter results due Sept. 30, 2026. Chin wrote that while Micron's results and guidance should beat consensus, the upside will likely be more modest than in recent quarters. DRAM shipment growth is projected at 15% to 20% in 2027, down from roughly 20% mid-to-high growth this year, as the company and peers cannot ship memory chips fast enough to meet demand. He forecasts fourth-quarter revenue of $50.78 billion, up 22% sequentially, with growth slowing to 11% in the current quarter. Supply constraints could keep prices and profits elevated; Stifel estimates DRAM shipments would need to rise 40% to 50% in 2027 to close the supply-demand gap. Chin reiterated a $1,500 price target and Buy rating, saying the market underappreciates structurally higher prices and margins over the next 12 to 18 months.