Micron Rises 4% to $1,088 as DA Davidson Sets Street-High $3,000 Target, Shrugging Off Taiwan Strike Vote

MU rose 4.1% to close at $1,088.00 on Wednesday, October 7, after DA Davidson raised its price target on the memory maker to $3,000 from $2,100 and kept a Buy rating. Bloomberg described the new target as a Street high, and it sits well above the $2,200 top of the 46-analyst consensus band SentiSense tracked before the call, whose average was $1,535.57. Barron's identified the analyst as Gil Luria, whose case rests on AI models needing more memory to run better and faster.

The rally came after a rough open. A union representing Micron workers in Taoyuan, Taiwan said 1,994 members, 99% of those voting, had authorized a strike over the company's bonus scheme, and the shares fell more than 2% before the bell. Per Reuters, the union wants a permanent profit-sharing mechanism rather than Micron's September offer of T$1 million per employee, and the timing of any strike is still under discussion. It is encouraging members to take a day off on October 19 for a rally in Taipei, which it says is not a strike. Taiwan is a key site for Micron's DRAM and high-bandwidth memory output, which is why the vote drew attention even as the stock recovered intraday from a low of $1,045.56.

The four-digit share price has also revived talk of a stock split. The Motley Fool notes the shares have risen 485% over the last year, giving Micron a market value of about $1.2 trillion, but reads management's comments on its fiscal fourth-quarter call as favoring buybacks for excess cash rather than a split. Micron has not announced either a split or a new repurchase authorization.

What to watch: whether the Taoyuan union sets a strike date or mediation produces a profit-sharing deal, whether other analysts move toward DA Davidson's $3,000 call, and any capital-return announcement from management.