Micron Technology (MU) shares surged 5% on Monday, March 10, 2026, reaching around $378.78, despite news that Nvidia's upcoming Vera Rubin AI system will initially bypass Micron's HBM4 memory chips. Wall Street analysts maintained bullish outlooks, with Citi raising its price target to $430 and Susquehanna projecting $525, citing strong DRAM demand in data centers and high-performance computing as key drivers for the stock's resilience.
Analysts argue that Micron's initial exclusion from Nvidia's top-tier HBM4 supply for the Vera Rubin platform won't materially dampen revenue growth. While Samsung Electronics and SK Hynix secured the main HBM4 allocations for Vera Rubin, Micron is slated to provide HBM4 for the Rubin CPX line, which focuses on AI inference tasks rather than large-scale model training. This ensures Micron's participation in the AI memory boom, with analysts noting that even partial allocations could capture significant market share.
Micron's CFO, Mark Murphy, confirmed in February that 2026 HBM4 production is fully committed through volume and pricing agreements made in December 2025, with shipments having started a quarter ahead of schedule. This early delivery positions the company to meet rising global AI memory demand. Citi projects DRAM demand will increase 171% in 2026 versus 2025, though Susquehanna warns earnings could peak by mid-2027 as supply-demand dynamics normalize.
In a related development, Micron and Applied Materials (AMAT) announced a partnership to develop next-generation DRAM, high-bandwidth memory (HBM), and NAND solutions for AI systems. The collaboration will leverage Applied Materials' $5 billion EPIC Center in Silicon Valley—described as the largest single U.S. investment in advanced semiconductor equipment R&D—and Micron's innovation hub in Boise, Idaho. A key focus is advanced packaging for high-bandwidth, low-power memory tailored for AI workloads.
Micron CEO Sanjay Mehrotra called the partnership "a unique lab-to-fab pipeline to advance American memory innovation." Following the announcement, Applied Materials' stock rose 2.16%. The company's financials show revenue of $28.21 billion with a 29.74% operating margin, though some valuation metrics suggest the stock may be overvalued at current prices.
Investors are now awaiting Micron's fiscal Q2 earnings report on March 18, 2026, which is expected to provide further clarity on the company's strategy and growth trajectory in the competitive HBM landscape.
