Micron Technology Announces $24 Billion Investment for New Chip Facility in Singapore
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Yahoo Finance
- Investment Plan: Micron Technology has announced a $24 billion investment to build a new memory chip manufacturing facility in Singapore, aimed at addressing the urgent global memory chip shortage, with production expected to commence in the second half of 2028, thereby reinforcing its leadership in the memory market.
- Market Demand: The new facility will focus on NAND memory chip production to meet the surging market demand driven by the rise of AI and data-centric applications, which is expected to significantly enhance the company's capacity and market share.
- Advanced Packaging Plant: Micron is also constructing a $7 billion advanced packaging plant for high bandwidth memory (HBM) in Singapore, set to begin production in 2027, further strengthening its competitive position in the AI chip market.
- Industry Dynamics: Despite the memory supply shortfall projected to last until late 2027, Micron and its main competitors, Samsung and SK Hynix, are accelerating the construction of new production lines to meet the growing market demand.
Analyst Views on MU
Wall Street analysts forecast MU stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for MU is 336.12 USD with a low forecast of 235.00 USD and a high forecast of 500.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
26 Analyst Rating
24 Buy
2 Hold
0 Sell
Strong Buy
Current: 399.650
Low
235.00
Averages
336.12
High
500.00
Current: 399.650
Low
235.00
Averages
336.12
High
500.00
About MU
Micron Technology, Inc. provides memory and storage solutions. The Company delivers a portfolio of high-performance dynamic random-access memory (DRAM), NAND, and NOR memory and storage products through its Micron and Crucial brands. The Company's products enable advancing in artificial intelligence (AI) and compute-intensive applications. Its segments include Compute and Networking Business Unit (CNBU), Mobile Business Unit (MBU), Embedded Business Unit (EBU), and Storage Business Unit (SBU). CNBU segment includes memory products and solutions sold into the data center, PC, graphics, and networking markets. MBU segment includes memory and storage products sold into the smartphone and other mobile-device markets. EBU segment includes memory and storage products and solutions sold into the intelligent edge through the automotive, industrial, and consumer embedded markets. SBU segment includes SSDs and component-level storage solutions sold into the data center, PC, and consumer markets.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
