Expert Analyst Predicts Micron Technology Stock Could Hit $150: Should You Buy?

Is Micron Technology Stock Going to $150?

Micron stock could go to $150. But how long can it stay there? Artificial intelligence (AI) stocks are red hot -- and Christopher Danely thinks Micron Technology (NASDAQ: MU) stock might be the red-hottest of the bunch.

How sure is he about that number?

Pretty certain. Danely is touting Micron as Citi's 'top pick.'

Is Micron stock a buy?

Does Micron deserve to be your top pick, though? Focusing on the short term, Danely predicts that Micron will beat earnings expectations (for a $0.26 per share loss) and raise guidance when reporting Q2 results next Wednesday.

DRAM prices look strong, and Micron is shipping a lot of high-priced, high-bandwidth memory chips (HBM) to customers ordering AI systems from Nvidia.

Micron's Potential

Micron probably won't be profitable this year, but earnings could race past $10 a share by 2026. Citi thinks the stock deserves a 15x multiple -- $150 a share.

• Two semiconductor cycles ago, Micron earned $11.51 per share in 2018, and by all accounts, this current AI revolution is a lot bigger than the expansion back then.

Concerns and Risks

With everyone producing HBM chips at breakneck speed, the seeds of the next semiconductor cyclical slowdown are being sown already today.

The risk inherent in buying Micron right now isn't that it might not 'go to $150.' It's that when the downturn arrives ... it might not stay there very long.

Caveat investor.