The chip market is buzzing after Micron Technology (MU) delivered strong quarterly results, surpassing analyst expectations and fueling a surge in share prices. Micron’s revenue hit $7.75 billion, exceeding the estimated $7.635 billion, while earnings per share reached $1.18, beating the projected $1.13.
The company attributed its 93% revenue growth to the booming demand for AI, which has been a key driver of chip stock appreciation in recent years. Micron’s announcement also included a promising forecast of ‘significantly improved profitability’ for fiscal 2025, further boosting investor sentiment.
This positive news sent Micron’s stock soaring by 13.2% to $108.37, making it a major player in the after-hours market.
The ripple effect extended to other big players in the semiconductor memory market. Western Digital (WDC) and Lam Research (LRCX) saw their shares rise by over 4% in after-hours trading.
Other chipmakers, including NVIDIA (NVDA), Advanced Micro Devices (AMD), Marvell Technology (MRVL), Taiwan Semiconductor Manufacturing Company (TSM), and Arm Holdings (ARM), also experienced gains, with many stocks up by roughly 1% after hours.
Micron’s strong performance and positive outlook highlight the ongoing strength of the AI-driven demand for memory chips, a trend that continues to fuel growth and excitement in the semiconductor industry.
