Micron Up 330% Year-Over-Year, Trades at 10.7x Forward Earnings as IT Spending Tops $6T

MUMU

Micron shares rose 37% year-to-date and 330% over the past year, trading at 10.7x forward earnings against a 12x sector average even as peers rallied up to 133%. Global IT spending is set to exceed $6 trillion in 2026, propelling AI-related memory demand that underpins Micron’s growth outlook.

1. Robust Share Gains

Over the past year Micron stock has jumped 330% and is up 37% year-to-date, outpacing sector rivals like Western Digital (+55%) and Seagate (+45%).

2. Valuation Remains Attractive

Micron trades at 10.7x forward earnings, below the memory sector’s 12x average and well under the broader market’s near-24x multiple, reflecting earnings-driven momentum rather than multiple expansion.

3. AI-Driven Demand Outlook

Global IT spending is forecast to surpass $6 trillion in 2026, driven largely by AI infrastructure deployment, creating sustained demand for high-performance memory chips where Micron is a key supplier.

Sources

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