Memory chipmaker Micron (MU) has climbed to an all-time high of $1,089.95, and the biggest trigger behind the move is TD Cowen analyst Krish Sankar lifting his price target on the stock from $660 all the way to $1500. Sankar also expects the company to post attractive profit margins when it reports earnings on June 24, 2026. The AI wave sweeping across the stock market has been a direct tailwind for MU, yet beneath the rally, competition and excessive buying continue to threaten the share price.
Is Micron Overbought at Its New Record High?
On the technical side, Micron's (MU) RSI (Relative Strength Index) stood at 76 in mid-May 2026. The reading is now hovering just below the 70 mark. An RSI above 70 generally signals that an asset has entered overbought territory. What stands out is that MU's RSI even shot up to 90 earlier this year. The previous time MU's RSI reached the 90 level was back in 1995, when it touched 96.
Memory Chips Sit at the Heart of the AI Boom
Micron (MU) has been one of the best-performing stocks of 2026, largely because its memory chips are a vital part of the AI boom. That said, intense competition from Samsung and SK Hynix could make it harder for the stock to hold on to its rally. Even with strong rivals, Micron (MU) has reportedly already sold its entire 2026 supply. With memory chip demand soaring on the back of rising appetite for AI products, the earnings report due later this month is likely to come in strong. While the stock may be circling the overbought zone, its RSI has been sliding over the past month, and a dipping RSI can itself act as a strong buy signal for investors.
Why Analysts Are Bullish
Beyond Sankar, several other industry experts have laid out a bullish case for Micron (MU). RBC Capital's Srini Pajjuri raised MU's price target from $525 to $1200 with a "buy" rating, while Cantor Fitzgerald's CJ Muse lifted the stock's target from $700 to $1500. Given the market mood around AI-linked equities, there is a strong chance MU will keep its upswing going in the period ahead. However, the IPOs of OpenAI and Anthropic could drain some liquidity from MU's market.
