Bank of America Securities analyst Vivek Arya has reiterated their neutral stance on MU stock, giving a Hold rating on June 20.
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Vivek Arya has given his Hold rating due to a combination of factors impacting Micron’s financial outlook. While the company is experiencing positive developments in its DRAM and HBM segments, with improved gross margins and expanding opportunities in AI, there are still uncertainties that constrain its earnings potential. The NAND pricing environment remains uncertain, and startup costs for new facilities and technologies are expected to continue posing challenges into 2026.
Despite these headwinds, Micron’s management anticipates significant inventory improvements and a robust pricing environment, which are positive signs. However, the limited visibility into future average selling prices and margins, particularly beyond the near term, justifies the Hold rating. The revised price objective reflects an optimistic view of the current upcycle, but the ongoing risks and uncertainties warrant a cautious approach.
Arya covers the Technology sector, focusing on stocks such as Nvidia, Advanced Micro Devices, and Analog Devices. According to TipRanks, Arya has an average return of 16.9% and a 61.69% success rate on recommended stocks.
In another report released on June 20, Morgan Stanley also maintained a Hold rating on the stock with a $98.00 price target.