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Bank of America directly sees MU at a $4,000 share price, corresponding to a market value of $4 trillion. 2026.8.17
Bank of America’s model predicts that MU Micron Technology’s gross margin will remain at 80% until 2030, breaking the traditional memory-cycle pattern.
They forecast that for fiscal year 2030, MU Micron Technology’s earnings per share will reach $236, with a compound annual growth rate as high as 34%, far above prevailing market expectations.
They used actual economic data disclosed by SNDK, SanDisk (15% sales growth, over 80% gross margin, and a free-cash-flow profit margin above 50%), and applied it to MU Micron Technology. All the debate in the memory industry is focused on one line in this table: gross margin. The market’s general expectation is the old cycle.
Gross margin is expected to peak next year at 84.5%, then fall to 73.5% by fiscal 2029, while EPS would actually rise to a peak of $169 and then fall to $136 in fiscal 2030.
Bank of America’s forecast shows gross margin will hold at 80%, with EPS continuing to climb: $169 in fiscal 2028, $200 in fiscal 2029, and $236 in fiscal 2030—achieving 34% compound annual growth over five consecutive years.
SNDK, SanDisk, raised its gross margin from 51% to 84.6% within three quarters, and expects even higher. The gross-margin collapse that all the bears predicted has still not materialized.
Even under widely held market expectations, MU Micron Technology will return a large amount of capital, bringing its annualized return in fiscal 2028 to 49.8%, and to 69.1% in fiscal 2029 (the stock buyback restriction expires on December 9 of this year).
EPS of $236, a P/E ratio of 20x, implies a share price of $4,700. With a 15x P/E, the price is $3,500. Micron’s share price today is under $1,000—so if you split the difference, it’s $4,000.
Bank of America directly sees MU at a $4,000 share price, corresponding to a market value of $4 trillion. 2026.8.17
Bank of America’s model predicts that MU Micron Technology’s gross margin will remain at 80% until 2030, breaking the traditional memory-cycle pattern.
They forecast that for fiscal year 2030, MU Micron Technology’s earnings per share will reach $236, with a compound annual growth rate as high as 34%, far above prevailing market expectations.
They used actual economic data disclosed by SNDK, SanDisk (15% sales growth, over 80% gross margin, and a free-cash-flow profit margin above 50%), and applied it to MU Micron Technology. All the debate in the memory industry is focused on one line in this table: gross margin. The market’s general expectation is the old cycle.
Gross margin is expected to peak next year at 84.5%, then fall to 73.5% by fiscal 2029, while EPS would actually rise to a peak of $169 and then fall to $136 in fiscal 2030.
Bank of America’s forecast shows gross margin will hold at 80%, with EPS continuing to climb: $169 in fiscal 2028, $200 in fiscal 2029, and $236 in fiscal 2030—achieving 34% compound annual growth over five consecutive years.
SNDK, SanDisk, raised its gross margin from 51% to 84.6% within three quarters, and expects even higher. The gross-margin collapse that all the bears predicted has still not materialized.
Even under widely held market expectations, MU Micron Technology will return a large amount of capital, bringing its annualized return in fiscal 2028 to 49.8%, and to 69.1% in fiscal 2029 (the stock buyback restriction expires on December 9 of this year).
EPS of $236, a P/E ratio of 20x, implies a share price of $4,700. With a 15x P/E, the price is $3,500. Micron’s share price today is under $1,000—so if you split the difference, it’s $4,000.