Micron Technology Sees Explosive Growth in AI Memory Solutions
Micron Technology (NASDAQ: MU), a key supplier of high-bandwidth memory (HBM) for data centers, reported a record revenue of $23.8 billion for its fiscal 2026 second quarter, ending February 26. This figure marks a 196% increase from the previous year and significantly surpasses the management forecast of $18.7 billion. The company’s cloud memory business, encompassing HBM sales, contributed $7.7 billion, a 163% rise year-over-year.
Micron attributes its revenue surge to robust demand for AI-related memory solutions, with earnings per share hitting $12.07—an increase of 756%. The company anticipates even greater results for the third quarter, projecting revenues of $33.5 billion and earnings of $18.90 per share, reflecting year-over-year increases of 260% and 1,025%, respectively.
Over the past year, Micron’s stock has soared by 330%, currently trading at $444.27, but remains attractive with a price-to-earnings (P/E) ratio of 20.9, lower than the S&P 500 average of 24.1. With expectations of continued strong performance, the stock is projected to reach $1,203 if it maintains its current P/E ratio over the next 18 months.
