TLDR
- Mizuho analyst Vijay Rakesh raised price targets on Micron, SanDisk, Dell, Arm Holdings, and On Semiconductor
- Micron’s target was lifted to $1,150 from $800; SanDisk to $1,825 from $1,625
- HBM pricing could rise 70–100% by 2027 as supply stays tight
- Agentic AI could add 9–13% in incremental DRAM demand going forward
- All five stocks kept at Outperform; the HBM total addressable market is expected to grow 90% between 2025 and 2028
Mizuho Securities has raised price targets on five technology stocks, pointing to growing demand for memory chips driven by artificial intelligence.
Analyst Vijay Rakesh issued the updated targets on May 28, 2026. The stocks covered are Micron, SanDisk, Dell Technologies, Arm Holdings, and On Semiconductor. All five kept their Outperform ratings.
Why Mizuho Is More Bullish Now
The main reason for the upgrades is AI. Mizuho sees demand for DRAM, a type of memory used in servers and devices, staying strong going into 2027.
The firm said agentic AI — software that can carry out multi-step tasks on its own — is adding between 9% and 13% in incremental DRAM demand. Year-over-year growth in that segment could reach 30% or more.
Nvidia’s Vera Rubin platform is also part of the story. Mizuho noted it carries three times the amount of LPDDR5 memory content compared to its Grace predecessor. That alone pushes up overall memory demand.
Rakesh raised Micron’s price target to $1,150 from $800, implying about 25% upside from current levels. SanDisk’s target went to $1,825 from $1,625, suggesting around 15% upside.
Dell’s target was raised to $350 from $300. Arm Holdings went to $360 from $290. On Semiconductor was lifted to $150 from $130.
HBM and NAND Markets Stay Tight
High-bandwidth memory is a key focus for Mizuho. The firm sees the HBM total addressable market growing 90% between 2025 and 2028, driven by content growth and pricing tailwinds.
HBM pricing itself could rise 70% to 100% by calendar year 2027, according to Rakesh. That’s because supply is not expected to expand at a pace that matches demand. No major capacity additions are forecast through 2027.
Even customers outside the AI space are feeling the squeeze. Mizuho noted some non-AI buyers are undersupplied by 30% to 50%, which gives memory makers room to hold pricing firm.
NAND demand is also holding up. The firm said enterprise SSD and KV Cache demand is strong and tightening heading into 2027. A new format called HBF may also enter the market, adding another potential demand driver.
On Wall Street, Micron currently holds a Strong Buy consensus rating based on 27 Buy ratings and three Hold ratings over the last three months. The average price target for the stock is $716.30.
This latest round of upgrades from Mizuho follows a similar move by Barclays, which turned more bullish on the memory sector just one day earlier on May 27.
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