Micron Stock Faces $50B Revenue Test as JPMorgan Backs $1,540 Target

• Micron stock heads into Q4 earnings with JPMorgan maintaining an Overweight rating and $1,540 price target
• Micron guided for $50 billion in revenue and approximately 86% gross margin, and JPMorgan expects results to beat consensus
• Forward guidance and memory pricing will show whether strong AI memory demand can sustain Micron’s growth

Micron stock heads into Wednesday’s earnings report with a demanding benchmark already on the table, which is $50 billion in quarterly revenue. JPMorgan believes the memory chipmaker can beat Wall Street’s expectations and has kept its $1,540 target. But only a strong quarter may leave investors unsatisfied. With AI memory demand driving sales and margins sharply higher, attention will turn quickly to what management says about prices, customer orders and how long this run can last.

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JPMorgan Expects More From Micron Earnings on its Stock

JPMorgan maintained its Overweight rating ahead of Micron’s fiscal fourth-quarter results, pointing to tight supplies across DRAM and NAND, the chips used for working memory and storage.

The bank expects revenue, gross margin and earnings to exceed consensus estimates. It also said pricing remained strong through the quarter, despite management’s earlier warning that the pace of price increases would slow. This matters as prices can keep rising even as the increases become smaller.

The $1,540 MU stock price target reflects JPMorgan’s confidence that Micron has more room to grow. Investors will get a clearer view of that argument when the company releases its results and discusses the next quarter.

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The $50 Billion Benchmark Is Already Priced Into Expectations

Micron’s official guidance calls for revenue of $50 billion, plus or minus $1 billion, approximately 86% gross margin and adjusted earnings of $31 a share, plus or minus $1.

At the midpoint, revenue would rise about 20.6% from the previous quarter’s $41.46 billion, based on those company figures. Simply meeting the guidance would represent substantial growth. This is even though the market’s reaction will depend on expectations beyond management’s published range.

Micron has also reported high-volume shipments of HBM4, its high-bandwidth memory product, for a lead customer’s platform. HBM4E development is underway, with volume production expected in 2027. Those products give investors another way to judge whether AI memory demand is translating into sustained business.

There is a longer-term question behind the quarterly numbers. CEO Sanjay Mehrotra has said multi-year customer agreements should make Micron’s financial performance more predictable. Investors will want detail on how those agreements affect demand visibility as the company expands supply.

The earnings call starts September 30 at 4:30 PM ET. The revenue figure will draw the first headlines. What management says about the following quarter could have a greater impact on whether JPMorgan’s target looks achievable.

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