Wall Street analysts have significantly raised price targets for major semiconductor stocks, including Micron Technology, Intel, and AMD, citing soaring demand for AI infrastructure, tight supply conditions, and strong pricing power in the memory and server CPU markets.
Bank of America raised its price target on Micron (MU) to $400 from $300, maintaining a Buy rating. Analyst Vivek Arya highlighted exceptionally strong spot and contract pricing for both DRAM and NAND memory chips, driven by limited supply. He noted that while SK Hynix and Micron have planned substantial capital expenditure increases, industry clean room space remains constrained, with material equipment installation and volume production likely two to three years away. Arya expects the pricing strength to carry into Q1 2026 before moderating. Micron's stock has surged almost 264% over the past 12 months.
Separately, KeyBanc Capital Markets upgraded both Intel (INTC) and AMD (AMD) to Overweight on January 13, 2026. The firm set a $60 price target for Intel, implying about 36% upside, and a $270 target for AMD, suggesting 30% upside.
For Intel, analyst John Vinh cited that the company is nearly sold out of server CPUs for 2026 due to intense data center demand, and is considering raising average selling prices by 10% to 15%. Vinh also highlighted progress in Intel's foundry business, noting that yields on its advanced 18A manufacturing process have improved to over 60%. He revealed that Intel has already landed Apple as a customer for the 18A process for low-end MacBook and iPad processors, and that the companies are in talks for Intel's 14A technology to be used for low-end iPhone chips. Amazon, Alphabet, and Meta have also shown interest in Intel's advanced packaging technologies.
For AMD, Vinh projects server CPU revenue growth of at least 50% for the year, with similar pricing power. He expects AMD's AI GPU revenue to reach $14 billion to $15 billion in 2026, driven by MI355 demand in the first half and a significant ramp in MI455 shipments in the second half.
The bullish analyst calls fueled immediate stock gains. Intel's stock jumped 7.3% to $47.29, hitting a new 52-week high, while AMD's stock rose 6.4% to $220.97.
