Micron Technology crossed the $1 trillion market capitalization level for the first time on May 26, as its stock rallied sharply on strong AI demand. The move placed the US memory chipmaker among the biggest listed companies in the country, while investors widened their focus beyond AI graphics processors.
Micron shares rose as much as 19.3% during Tuesday’s session, briefly lifting the company’s market value above $1 trillion. The stock later eased from its intraday high but still held a strong gain, according to market data.
The rally followed a major price target increase from UBS. The brokerage raised its target on Micron stock to $1,625 from $535, marking one of the most bullish views among analysts covering the company. That new target pointed to more than double the stock’s Friday closing level.
UBS linked the move to stronger long-term demand for memory chips used in AI systems. The firm said investors may start valuing Micron with a more stable multiple as AI changes the memory market. That view comes as customers sign longer supply deals and seek better access to advanced chips.
Micron’s move also marked one of its strongest trading sessions in years. Reports said the stock posted its best day since 2011 and reached a record high. The company has also recorded several new highs this year as the AI trade expands across the semiconductor sector.
Micron produces memory chips that store and move data in computing systems. These chips have become more important as AI data centers need faster processing, larger storage, and stronger bandwidth. As a result, investors have started to look beyond companies that make graphics processors.
“The need for pure memory has increased rapidly over very short periods of time, and clearly, Micron sits at the center of it,” Art Hogan, chief market strategist at B. Riley Wealth, told Reuters.
Hogan also said, “Today’s crossing of the $1 trillion mark for Micron is just an exclamation point on the story of the massive amount of demand needed to run data centers in this AI revolution.”
The company has already said its full 2026 supply of high-bandwidth memory chips has sold out. These HBM chips support AI training, cloud infrastructure, and advanced computing systems. Micron has also started production of its next-generation HBM4 products, according to reports.
Meanwhile, the wider memory market faces tight supply. Strong AI demand has allowed major producers to raise prices, while customers increase long-term spending on data centers. Micron’s shares have risen more than eightfold over the past 12 months, supported by earnings growth and supply constraints.
Micron’s rise shows how the AI trade has spread across more parts of the chip industry. Nvidia remains the leading name in AI processors, but demand for memory, storage, and central processing units has also increased. This shift has supported several semiconductor stocks.
Other chip names also earned profits during the session. Reports said Marvell Technology, Advanced Micro Devices, Intel, Qualcomm, ON Semiconductor, and Lam Research moved higher as investors added exposure to the broader AI hardware supply chain.
Micron’s milestone also places the US company closer to Asian memory leaders. Samsung Electronics has already crossed the $1 trillion market value mark, while SK Hynix has also gained from rising demand for AI memory chips. These firms remain key players in the global memory supply chain.
However, the rally comes after a difficult period for memory chipmakers. The sector faced weak demand after the pandemic as personal computer and smartphone sales slowed. That earlier supply glut pressured prices before AI demand changed the market setup.
For now, Micron’s next test will depend on whether strong demand continues and whether supply remains tight. Investors are also watching if the stock can hold key price levels after its rapid climb. Analysts noted that bulls may focus on the $800 area, while deeper support sits near $665.
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