Memory-chip maker Micron Technology (MU) late Tuesday trounced analyst estimates for its fiscal fourth quarter and with its outlook, thanks to strong AI data center growth. Micron stock surged in extended trading.
The Boise, Idaho-based company earned an adjusted $3.03 a share on sales of $11.32 billion in the quarter ended Aug. 28. Analysts polled by FactSet had expected Micron earnings of $2.86 a share on sales of $11.22 billion. In the year-earlier period, Micron earned an adjusted $1.18 a share on sales of $7.75 billion.
It was the company’s third consecutive quarter of triple-digit percentage gains in earnings.
For the current quarter, Micron forecast adjusted earnings of $3.75 a share on sales of $12.5 billion. That’s based on the midpoint of its guidance. Wall Street was looking for earnings of $3.10 a share on sales of $11.91 billion in the fiscal first quarter. In the same quarter last year, Micron earned an adjusted $1.79 a share on sales of $8.71 billion.
In after-hours trading on the stock market today, Micron stock jumped more than 3% to 172.20. During the regular session Tuesday, Micron stock rose 1.1% to close at 166.41.
Last Thursday, Micron stock notched a regular-session, all-time high of 170.45 in intraday trades.
Earnings report details to follow.
Micron makes two main types of memory chips: DRAM and Nand. DRAM (dynamic random-access memory) chips act as the main memory in PCs, servers and other devices, working closely with central processing units. Nand flash chips provide longer-term data storage.
Lately, Micron has gotten a boost from providing high-bandwidth memory (HBM) for data centers running artificial intelligence applications.
Micron stock is on three IBD lists: IBD 50, Leaderboard and Tech Leaders.
Follow Patrick Seitz on X at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.
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