Micron Technology Signs Unprecedented Multiyear Deals Amid Memory Chip Shortage
Micron Technology has signed 16 multiyear agreements with customers, marking an unprecedented move in the memory-chip industry. This shift is expected to provide greater visibility into future cash flows and mitigate the historic cyclicality of memory sales. The company reported a 345% revenue increase to $41.4 billion for Q3 FY2026, driven by strong demand in cloud and data center markets, with NAND and DRAM prices doubling compared to the previous year.
Several Wall Street analysts have raised their earnings estimates for Micron, projecting earnings of $155 per share in fiscal 2027—up from a previous estimate of $98 per share—signifying a potential growth rate of 168% annually over the next five quarters. Additionally, Nvidia’s CEO Jensen Huang has indicated that the current memory-chip supply shortage, fueled by demand for AI infrastructure, will persist for several years, further underscoring the favorable outlook for Micron.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
