Micron Stock Will Hit $2,000 Sooner Than You Think

Micron just had blowout earnings and analysts are saying Micron stock could rise to over $2,000 per share over the next 12 months. There's no doubt Micron stock is the best stock to buy now, but there are some headwinds that could keep the stock price down that you should know about. In this video, I'm going to go through the earnings call and show you all the reasons why the stock should rally, but I'm also going to show you the reasons why the stock might go down. For those of you who are new to this channel, my name is Stock Curry. I'm a former Merrill Lynch and Morgan Stanley investment banker and I've been trading for over 25 years. Let's go through the earnings call because let's face it, no stock is without risk, even a stock as undervalued as Micron. And yes, Micron does remain extremely undervalued. It retains an A+ calculated rating on Seeking Alpha, but the most amazing part is the forward PE ratio. The last time I covered Micron stock, the forward PE ratio was at eight. Now, it's all the way down to six and that's incredible considering the average tech stock has a forward PE ratio of 23. Micron has continued to grow revenue at a substantial pace and earnings is even more impressive, up over 1,000% year-over-year last quarter. And yet, despite the incredible earnings growth, Micron stock has traded completely flat since the last earnings. And with earnings continuing to rise at over 1,000% year-over-year and yet the stock price trading flat, this has caused Micron stock to become even more undervalued than it has ever been at any other point in history. And technically, every single indicator is bullish for Micron stock. Over the past 2 months, MU has been trading in a clear uptrend. In fact, the trend line has been in place since April. And if you extend that upward trend line out 1 year to October 1st 2027 it shows Micron trading at over $2,300 per share 1 year from now. Technically, Micron stock should go up over 100% over the next 12 months. And it's not just the technicals showing a massive rally in Micron stock continuing for the next 12 months. Fundamental analysts see the stock going up over 100% as well. In fact, even the most bearish analyst see Micron stock going up and beating the overall stock market. The only person losing money on Micron is Michael Burry, who foolishly shorted it. This is one of the few instances where I think Jim Cramer is actually right when he said Michael Burry is digging his own grave trying to bet against Micron. Now, in a minute, I'm going to go into the details of the earnings call and show you why every single analyst expects Micron stock to go up. But, I'm also going to show you why Michael Burry thinks the stock will go down. Because, let's face it, no investment is risk-free. And even though Micron is one of the most undervalued stocks in the entire stock market, it could still go down. Now, if you're with me and you think Micron stock is going to double in value over the next 12 months, you don't necessarily have to wait an entire year to potentially double your money. We are making money in the Stock Dads Discord every single day with multiple traders alerting trades that result in massive profits. In fact, we have over 20 full-time multi-millionaire traders who post every trade they make with two of our traders on track to make over a million dollars this year. Every single trade open, trim, and close is alerted in real time. We are consistently beating the overall stock markets, and people just like you are copying their trades and making money right along with us, such as this person who made over $4,000 on a single option spread. So, come join us in Stock Dads and start making money with us. You can join us using the first link in the description below or by scanning the QR code on your TV screen. And right now, you can get 30% off Stock Dads for life with coupon code Curry. Just enter coupon code Curry at checkout to get 30% off Stock Dads for life. But, hurry because this offer ends this week. Now, [snorts] let's dig into Micron's earnings to understand why every single analyst expects the stock to rise over the next 12 months, but also understand why Michael Burry thinks the stock might fall. Micron reported a massive earnings beat. They beat analyst expectations on revenue, earnings, and their forecast. Earnings came in at $33.42 per share versus only $31.61 expected. And revenue came in at $54 billion versus only $51 expected. But the big shocker was Micron's forecast. Micron forecast next quarter revenue at $61 billion versus only $57 billion expected. And they forecast first quarter earnings at $38 per share versus only $35 expected. So, if the earnings and the forecast is so great, why isn't the stock skyrocketing? Well, there are some concerns that are keeping the stock price down. The main concern is around future memory chip prices. Some people believe that the factories Micron is building will cause supply to increase, which in turn will cause prices to fall, which in turn will hurt Micron's margins, which in turn will lower Micron's profits. And that's the reason why Michael Burry has put options on Micron. He thinks that memory prices are going to go down, which in turn is going to cause Micron's profits to go down, which in turn is going to cause the stock price to go down. But an increase in supply once Micron's new factories go online in 2028 will actually increase sales, which will increase revenue, which should offset any reduction in margin. And that should keep earnings sky high. To put it plainly, one analyst said, "I have not heard any negative data points pointing to the memory cycle reversing toward a decline anytime soon for the foreseeable future." And there are actually a few reasons why Micron stock could actually rise faster than anybody is expecting. First, Micron is the only US manufacturer of high bandwidth memory or HBM. And Micron's CEO said on the earnings call that Micron is working with Nvidia on the industry's first custom HBM implementation. And once this is released, it could cause demand for memory to skyrocket, which could push memory prices even higher than where they are today. The second reason Micron stock could go up faster than anybody is expecting is because of the potential for a share buyback. When Micron reports their next earnings in January, they could announce a stock buyback. That's because restrictions related to US government funding ends in December. And Micron is sitting on over $38 billion in cash, which is more than enough for Micron to announce a massive stock buyback. And when companies start stock buybacks, this causes massive buying pressure on the stock, which causes stocks to rally. And this could cause Micron to reach that $2,300 price target much sooner than expected.