Micron Technology is set to report its fiscal Q2 2026 earnings on March 18, with Wall Street anticipating explosive growth driven by insatiable AI demand. Analysts forecast revenue of approximately $19.1 billion, a staggering 137% year-over-year increase. Earnings per share are projected between $8.60 and $8.74, representing a roughly 460% surge from the same period last year.
The primary catalyst is the severe supply-demand imbalance for High-Bandwidth Memory (HBM) and DRAM, critical components for data centers running large language models. Micron has stated it can only meet 50% to 66% of key customer demand, with its entire HBM supply for calendar year 2026 already sold out. This scarcity grants the company significant pricing power, as new semiconductor fabrication capacity is not expected to meaningfully come online until 2027 at the earliest.
In a related strategic move, Micron has completed the acquisition of the P5 chip plant from Powerchip Semiconductor Manufacturing Corp (PSMC) in Tongluo, Taiwan. The facility boasts about 300,000 square feet of cleanroom space. Furthermore, the company announced plans to construct a second manufacturing facility of similar scale at the same Tongluo site, with construction slated to begin by the end of fiscal 2026 (late August). Both facilities will focus on producing leading-edge DRAM and HBM, with first shipments from the acquired plant targeted for fiscal 2028.
Analysts have reacted bullishly. Wedbush's Matthew Bryson raised his price target to $500 from $320, while Wells Fargo's Aaron Rakers lifted his target to $470 from $410. Rakers sees peak EPS potentially reaching $50–$60 per share. The consensus among 27 tracked analysts is a Strong Buy, with an average price target of $448.07. Following the expansion news, Micron's stock (MU) rose over 5%, adding to its 42% year-to-date gain.
