TISCO Securities maintained a Buy recommendation on Micron Technology, citing stronger-than-expected fourth-quarter fiscal 2026 earnings and improving memory pricing. The brokerage set a target price of $1,315 for MU, implying upside from the recent share price of $1,097.39.
Micron reported fiscal fourth-quarter revenue of $54.23 billion, up 30.8% from the previous quarter and 379.3% from a year earlier. The figure exceeded market expectations by 5.3%, according to TISCO’s analysis.
The key driver was higher selling prices across memory products, rather than shipment growth alone. Average prices for DRAM and NAND increased, while delivery volumes rose by about 5% and 10% quarter-on-quarter, respectively. TISCO said this indicates that pricing strength was the main contributor to revenue expansion, supported by constrained industry production capacity.
Profitability also improved sharply. Adjusted net income reached $38.40 billion, rising 33.1% quarter-on-quarter and 1,006.9% year-on-year. Gross margin increased to 87.0%, up 2.1 percentage points from the prior quarter, while operating margin stood at 82.3%.
TISCO also pointed to Micron’s growing base of long-term sales agreements as a factor that may reduce exposure to cyclical volatility. The company has 26 long-term contracts, with customer commitments rising to $32 billion, largely in the form of deposits. These agreements cover more than 35% of projected revenue through 2030.
Demand visibility in high-bandwidth memory remains strong. TISCO said Micron’s 2027 HBM order book is nearly fully allocated, with average selling prices significantly higher. The company is also developing HBM4E products.
TISCO’s $1,315 MU target is based on discounted cash flow analysis and a 10.1-times EV/EBITDA multiple on estimated 2028 EBITDA, using a 20% WACC assumption. MU has gained 16.8% over one month, 214% over six months and 563% over 12 months.
