Micron forecasts quarterly revenue above estimates

On September 30, Micron Technology announced it forecasted quarterly revenue above estimates, anticipating the AI-driven memory chip boom to continue fueling its growth. The surge in generative AI has made high-bandwidth memory crucial for data centers, benefiting companies like Micron, a vital supplier to Nvidia, whose expensive processors lead advanced computing tasks.

Micron expects first-quarter revenue to reach $61.5 billion, a range between $59.5 billion and $62.5 billion, compared to analysts' average estimate of $57.02 billion, according to LSEG's data. Adjusted profit is projected at $38.15 per share in the first quarter, surpassing estimates of $35.40. As the sole prominent US-based HBM chipmaker, Micron has witnessed demand far exceeding its capacity, with the AI memory boom tightening regular chip supplies and raising prices throughout the semiconductor industry.

Quarterly revenue more than quadrupled to $54.23 billion, surpassing expectations of $51.07 billion. Adjusted profit reached $33.42 per share, exceeding estimates of $31.61.