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Micron Technology (MU), SanDisk (SNDK), and SK Hynix (SKHY) stocks are rising in premarket trading on Friday, October 23, after Thursday's sharp sell-off. Micron, SanDisk, and SK Hynix stocks rose 3.06%, 4.30%, and 6.18%, respectively, in premarket trading on Friday, to $882.74, $1,315.10, and $139.83. The rebound comes as analysts remain bullish on memory stocks, while SK Hynix's decision to halt its Solidigm IPO review eases concerns over the plan.

Thursday's losses followed Tesla's (TSLA) lower 2026 capital spending target and Lam Research's (LRCX) weaker-than-expected outlook due to supply chain constraints. These updates raised concerns about AI investment and weighed on semiconductor stocks. The Philadelphia Semiconductor Index fell 6.7%.

Still, Western Digital (WDC) reported strong results late Thursday, with revenue rising 55% year-over-year to $4.38 billion, beating Wall Street estimates. Its revenue guidance also pointed to continued demand for enterprise storage used in AI data centers. However, WDC stock fell, showing that strong results have not eased all investor concerns about the sector.

Micron Stock Rebounds as Analyst Maintains $3,000 Target

Micron stock is recovering after falling about 4% on Thursday. Nvidia (NVDA) CEO Jensen Huang said in a CNBC interview on October 22 that he did not expect a memory surplus by 2029. "One of the things that's really great about memory is that you can always use more of it," he said.

Meanwhile, D.A. Davidson analyst Gil Luria maintained a Buy rating and a $3,000 price target on Micron. He sees the company as a leader in DRAM and high-bandwidth memory (HBM), which helps AI chips process data faster.

Luria said Micron has a "leadership position in memory technology, with far wider moats than are implied by the current valuation." His target pointed to more than three times upside from the stock's Wednesday closing price near $914.

SanDisk Stock Rises as Mizuho Sees Firm NAND Prices

In a new report, Mizuho analyst Vijay Rakesh reiterated an Outperform rating on SanDisk with a $2,050 price target. He expects NAND prices to remain firm through 2027 as capacity outside China stays largely flat.

Rakesh also expects demand for enterprise solid-state drives (SSDs) to rise as cloud firms expand their AI infrastructure. He sees more demand for storage used in AI applications, including systems that need fast access to data. The report notes that major enterprise SSD projects tied to Meta (META), Alphabet's Google (GOOGL), and Oracle Cloud Infrastructure could ramp up through 2027 and 2028.

Rakesh expects supply to remain tight as these uses grow. He said Mizuho "would be buyers on the pullback," citing stronger demand from AI applications while supply remains contained.

SanDisk is due to report its fiscal first-quarter results on October 29. The report will give investors a closer look at demand and pricing. Wall Street expects revenue of about $10.65 billion and earnings of $46.21 per share

SK Hynix Stock Gains After Solidigm IPO Plans Are Halted

SK Hynix shares are rising after the company suspended its review of a potential U.S. IPO for Solidigm. The move follows concerns that a separate listing could hurt parent-company shareholders or lead to a dual-listing discount.

Solidigm makes NAND memory and SSDs used in data centers. Its potential IPO had been viewed as a way to raise funds for new production capacity. Reports suggested the listing could have raised up to $15 billion.

SK Hynix said Solidigm's growth prospects and investment needs remain unchanged. It will continue to explore other funding options.

eToro APAC analyst Josh Gilbert said the decision "removes a governance worry and keeps Solidigm's value inside the company." The move may ease shareholder concerns, though SK Hynix still needs to find other ways to fund Solidigm's expansion.

Wall Street Still Sees Upside in Memory Stocks

TipRanks data shows a Strong Buy consensus rating for all three stocks. Micron has an average price target of $1,621.67, implying 89.34% upside. SanDisk's $2,205.59 target suggests 74.92% upside, while SK Hynix's $254.70 target points to 93.41% upside.