Micron delivers blowout earnings, surges 16% and deals crypto bulls a blow
Key takeaways
- Bitcoin BTC$61,240.95 climbed back above $60,000 after markets closed, but bullish AI sentiment will ultimately pull more liquidity away from crypto.
- Micron shares surged 16% in premarket trading on Thursday after the memory chipmaker's third quarter guidance exceeded Wall Street expectations.
- Memory chips have become the backbone of AI infrastructure, particularly high-bandwidth memory (HBM), which is essential for training and running large AI models.
Third-quarter revenue came in at $41.5 billion versus estimates of $35.7 billion, while earnings per share (EPS) reached $25.11 compared with expectations of $20.49.CEO Sanjay Mehrotra said there is "no line of sight" to AI memory supply catching up with demand, with shortages expected to continue beyond 2027.Computer memory chipmaker Micron Technology (MU) delivered blowout Q3 earnings on Wednesday, lifting the entire AI memory sector, AI-related stocks and even giving crypto a slight boost.
Bitcoin BTC$61,240.95 climbed back above $60,000 after markets closed, but bullish AI sentiment will ultimately pull more liquidity away from crypto.
Micron shares surged 16% in premarket trading on Thursday after the memory chipmaker's third quarter guidance exceeded Wall Street expectations. Third-quarter revenue came in at $41.5 billion versus estimates of $35.7 billion, while earnings per share (EPS) reached $25.11 compared with expectations of $20.49.