Micron Technology shares (NASDAQ:) rose 2% today after Wall Street analysts positive reflected on their hopes for Micron Technology’s earnings report tomorrow.

Harlan Sur, JPMorgan analyst, expects to have a more positive outlook for the May quarter than expected and better-than-expected results for previous quarters.

“We expect steady improvement in the DRAM and NAND fundamentals throughout the year. We also anticipate FY/CY22 numbers being revised higher post-the call with MU earnings potential of $13-14 exiting CY22. (Street @ $12). As the market begins to discount the strong fundamental setup for the remainder of CY22, we expect shares to begin to move higher towards the historical 8-12x level. Sur said in a client memo that we are OW MU with the positive 2 demand/supply outlook.

Morgan Stanley analyst Joseph Moore predicts that there will be upside for February, as well as an in-line outlook in the ongoing quarter. He said that Micron could guide conservatively.

Given that the pricing in DRAM was slightly higher and the supply issues in NAND in Micron’s quarter were only 2 weeks away, we expect the February quarter results to be positive. That could have driven some upward volumes later in the quarter. We would anticipate the company to either guide in line with consensus or slightly lower. Our number is slightly higher, but we consider that Micron’s usual conservatism given the wide variety of 2q pricing outcomes across all markets.” Moore stated in a client letter.

Moore worries about oversupply in DRAM markets and weaker sales of smartphones from China.

By Senad Karaahmetovic