This Artificial Intelligence (AI) Stock Hit $1 Trillion in Record Time. Wall Street Says This Will Happen Next.
Micron's market valued doubled from $500 billion to $1 trillion in record time, but most analysts think the stock is overvalued.
This Artificial Intelligence (AI) Stock Hit $1 Trillion in Record Time. Wall Street Says This Will Happen Next.
Overview
In May, Micron Technology (NASDAQ: MU) became the 12th U.S. company to achieve a $1 trillion market value, and the memory-chip maker reached the milestone in record time. After hitting $500 billion earlier this year, Micron soared to $1 trillion in just 48 days.
Before this year, Tesla held the record at 230 days. And it took Nvidia nearly 500 days. But an unprecedented memory chip supply shortage pushed Micron over the line rapidly this year, alongside two other chipmakers: Samsung and SK Hynix doubled from $500 billion to $1 trillion in 82 days and 61 days, respectively.
Details
However, most Wall Street analysts think Micron is headed lower. The median target price of $840 per share implies 15% downside from the current share price of $990. But investors shouldn't necessarily count that against the stock. Micron beat Wall Street's earnings forecasts in the past six quarters, meaning analysts tend to underestimate the company.
Source
Originally published at www.fool.com.
