Wall Street is more optimistic about Micron, Seagate and Western Digital. And here’s why.

Growing demand for artificial intelligence and ongoing shortages in memory and data storage solutions could mean bigger gains for hardware providers, according to the Wall Street AI market.

Micron Technology (MU) stock rose to an all-time high on Thursday, buoyed by higher price targets from analysts at Citi and UBS. Hard disk drive makers Western Digital (WDC) and Seagate Technology (STX) saw their shares rise after price target boosts from Wedbush.

The trio were among the S&P 500’s standout gainers Thursday afternoon, a bright spot on a bearish day for the technology sector and broader markets amid concerns about the ongoing federal shutdown and U.S.-China trade tensions.

UBS, which raised its target for Micron to a street high of $245, said “intense” shortages in the face of buoyant demand could mean more upside for Micron, which provides memory solutions to AI chip leaders such as Nvidia (NVDA) and Advanced Micro Devices (AMD). Citi, which raised its target to $240 from $200, said Micron could be next in line to land a major contract with ChatGPT maker OpenAI after recent deals with Nvidia, AMD and Broadcom (AVGO).

Wedbush analysts raised their target for Western Digital to $135 from $90, and Seagate to $260 from $175, saying they believe the hard drive makers could see higher prices and margins through 2026 and beyond “given an underlying supply shortage that appears unlikely to ease” for years.

Wall Street was broadly bullish on all three stocks, with Visible Alpha issuing “buy” ratings on shares of Micron, Seagate and Western Digital, which beat analysts’ average targets with their recent gains.

Micron and Seagate shares more than doubled in value in 2025. Western Digital shares nearly tripled, making them among the best-performing stocks in this year’s benchmark index.