Micron Technology delivered its strongest single-day stock performance in more than a decade Tuesday, surging to a new record high after analysts at UBS dramatically raised their outlook for the memory chip giant amid booming demand tied to artificial intelligence.

Micron shares jumped nearly 20%, marking the company’s best trading day since 2011 and its 28th record close of the year. The rally came after UBS more than tripled its price target on the semiconductor company, increasing it from $535 to a Wall Street-high target of $1,625 per share.

UBS analyst Timothy Arcuri argued that the rapid expansion of AI technologies is fundamentally reshaping the memory-chip industry and creating stronger long-term growth opportunities for Micron than investors previously anticipated.

According to UBS, the rise of artificial intelligence has transformed demand for memory products such as DRAM and NAND chips, which are critical components powering AI data centers, cloud computing systems, and next-generation processors.

The massive stock surge briefly pushed Micron’s market value above the $1 trillion mark, making it one of the largest publicly traded companies in the United States. At that valuation, Micron ranked among the country’s top corporate giants alongside companies like Apple, Microsoft, Amazon, and NVIDIA.

Analysts say the market is beginning to view Micron less as a traditional cyclical semiconductor stock and more as a long-term AI infrastructure company benefiting from sustained demand growth.

Historically, memory-chip manufacturers often faced sharp boom-and-bust cycles driven by fluctuating supply and pricing conditions. However, UBS believes the AI revolution is creating a more stable environment with improved earnings visibility and stronger long-term profitability for companies like Micron.

If Micron were to eventually reach UBS’s new price target, the company’s market capitalization could approach roughly $1.8 trillion, potentially placing it among the seven largest corporations in America.

The optimism surrounding Micron also fueled gains across the broader semiconductor sector Tuesday. Shares of Advanced Micro Devices, Intel, Qualcomm, Marvell Technology, and several other chipmakers moved higher as investors continued pouring money into AI-related stocks.

Market analysts noted that Micron’s ability to remain above key technical support levels in the coming weeks could determine whether the rally continues or faces short-term pullbacks after the rapid rise.

The latest surge further highlights how artificial intelligence continues reshaping Wall Street, with investors aggressively backing companies seen as essential to powering the next generation of AI systems and computing infrastructure.