MU, AMAT Stocks Rise Premarket as Analysts Raise Price Targets on Supply Crunch

On Wednesday, Citi and Deutsche Bank raised their price targets on memory chipmakers Micron Technology (MU) and chip equipment maker Applied Materials (AMAT) amid ongoing supply constraints from artificial intelligence infrastructure buildout.

Citi increased its MU price target from $840 to $1,200, implying 18% upside potential, while Deutsche Bank revised its target to $1,500 from $1,000, signaling 47% upside. For AMAT, Citi raised its target from $550 to $710, suggesting 25% upside. Both stocks were hovering near 3% gains in premarket trading. Morningstar analyst William Kerwin noted the AI-driven growth cycle for chip equipment is strengthening, with expectations for continued momentum into 2027–2028.