Investment Firm Mizuho Ups Forecasts for Memory Chip Makers Amid Artificial Intelligence Boom

Table of Contents Mizuho Securities has elevated price objectives across five technology companies, highlighting strengthening memory chip demand fueled by artificial intelligence expansion. Vijay Rakesh, an analyst with the firm, published the revised projections on May 28, 2026. The companies affected include Micron, SanDisk, Dell Technologies, Arm Holdings, and On Semiconductor. Each stock retained its Outperform designation. Micron Technology, Inc., MU Artificial intelligence serves as the primary catalyst for these target increases. Mizuho anticipates robust DRAM demand—a memory type essential for servers and computing devices—persisting through 2027. The financial institution highlighted that agentic AI — software capable of executing complex, multi-step operations independently—is generating 9% to 13% in additional DRAM requirements. Annual growth in this category may exceed 30%. Nvidia’s Vera Rubin architecture represents another significant factor. Mizuho observed this platform incorporates triple the LPDDR5 memory content versus the previous Grace generation. This specification alone elevates aggregate memory consumption. Rakesh boosted Micron’s price objective to $1,150 from $800, representing approximately 25% potential appreciation from present levels. SanDisk’s target advanced to $1,825 from $1,625, indicating roughly 15% upside potential. Dell’s target received an increase to $350 from $300. Arm Holdings rose to $360 from $290. On Semiconductor was elevated to $150 from $130. High-bandwidth memory represents a central element in Mizuho’s investment thesis. The firm projects the HBM addressable market will expand 90% between 2025 and 2028, propelled by content increases and favorable pricing dynamics. HBM pricing may climb 70% to 100% by calendar year 2027, per Rakesh’s analysis. The driver is supply expansion failing to keep pace with accelerating demand. Limited capacity additions are anticipated through 2027. Companies operating beyond the AI ecosystem are experiencing constraints as well. Mizuho indicated certain non-AI purchasers face supply shortfalls of 30% to 50%, empowering memory producers to maintain pricing discipline. NAND market conditions remain favorable. The firm reported enterprise SSD and KV Cache requirements are strengthening and constricting into 2027. An emerging format designated HBF could provide yet another demand catalyst. 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 recent wave of target increases from Mizuho comes on the heels of a comparable adjustment by Barclays, which adopted a more optimistic position on memory stocks one day prior on May 27.