Overview
- Micron posted fiscal Q3 revenue of $41.46 billion and net income of roughly $28.24 billion, a dramatic jump from $9.3 billion in the same quarter a year earlier.
- Visible Alpha and Wall Street models project about $50.95 billion in revenue and roughly $31.6 in adjusted EPS when Micron reports after the market close Wednesday.
- The surge is driven by demand for high‑bandwidth memory (HBM) used in AI data centers, with customers commonly reported to have committed around $22 billion in advance orders to secure supply.
- Management says meaningful new capacity likely will not come online until 2028, a view that has supported steep valuation gains and raised price targets to the mid‑four‑digits from firms such as UBS and D.A. Davidson.
- Investors face elevated near‑term volatility—options markets imply about a 7% swing—while longer‑term risks include the memory cycle turning as new fab capacity ramps and potential changes in buyback policy after CHIPS Act restrictions expire.