Siebert's CIO: Buy Micron Now, but Don't Hold It Forever

Micron Technology (MU) climbed 4.06% on Wednesday, closing at $1,088. The chipmaker paced the S&P 500 electronic technology sector while most semiconductor names finished down.

Nvidia, AMD, Texas Instruments, and Qualcomm all closed the session lower. Micron is up roughly 280% since the beginning of 2026.

Micron Can Stay Ahead of the Avalanche, Siebert CIO Says

Mark Malek, chief investment officer at Siebert Financial, dismissed the idea that Micron is a permanent holding. He called it a buy at current levels, however, because it commands a critical piece of the AI ecosystem.

“This is a company that will continue to outrun the avalanche.”

Malek also stressed how dependent Nvidia is on Micron's memory.

“Everyone’s favorite company, NVIDIA, mine included… is beholden to Micron. It’s part of their chipset. So without a boring company like Micron, they can’t sell a chipset.”

What's Behind Micron's Continued Growth

On September 30, Micron reported fiscal fourth-quarter revenue of $54.23 billion, ahead of its own $50 billion guidance. Gross margin reached 87%.

For fiscal first-quarter 2027, the company guided to $61.5 billion in revenue. It has also locked in contracts for the bulk of its 2027 high-bandwidth memory (HBM) supply at higher prices.

HBM is placed alongside Nvidia's AI processors. Micron builds HBM4 for Nvidia's Vera Rubin platform and is collaborating on a custom HBM4E version.

Micron, meanwhile, says there is no clear point at which DRAM supply and demand will return to balance. Rival Samsung faces a similar level of demand pressure. MU still trades at about six times expected fiscal 2027 earnings.

AI Spending Still the Avalanche Threat

Malek cautioned that a slowdown in AI capital expenditure (capex) would hurt the entire sector. In his view, names such as Micron would be hit hardest.

That risk has already shown up once. Memory stocks entered a bear market in July, and MU fell around 30% from its peak. Temasek has likewise called an AI trade unwind the top risk for markets.

Micron is also ramping up spending, with plans for roughly $25 billion in capex during the first half of fiscal 2027.

Micron Price Outlook Targets $1,500

MU emerged from a symmetrical triangle on September 3. The breakout was retested on September 14 around the 0.618 Fibonacci level at $894.58.

That retest confirmed the area as support. Since then, the stock has regained the 0.786 Fibonacci region around $1,053, a stretch that had earlier served as resistance.

On Wednesday, MU fell to $1,011 during the day before settling at $1,088, just under the session high. The bounce arrived as the wider market retreated from record levels.

On October 1, volume moved beyond a descending trendline. The Relative Strength Index (RSI), hovering around 60 and climbing, suggests buyers still hold momentum.

The initial target sits at the record high of $1,255, roughly 15% above the closing price. The triangle's measured move indicates $1,516, close to the 1.272 Fibonacci extension at $1,511.63.

That translates to about 39% upside. A daily close below $1,040, however, would erase that reclaim and could put $1,000, then $895, in view.