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Micron Posts Record Quarter, Lifts Outlook as Shares Fall on Higher Capex

Investors balk at a stepped-up multiyear capex plan that lifts 2026 spending above $25 billion.

Overview

  • Fiscal Q2 revenue of $23.86 billion and adjusted EPS of $12.20 beat expectations, with GAAP gross margin climbing to about 74%.
  • Micron guided fiscal Q3 revenue to roughly $33.5 billion (±$750 million), pointing to sustained AI data-center memory tightness.
  • Management said 2027 spending will increase again and outlined new fabs in Idaho (targeting mid-2027 output), New York (late-2028 wafers) and a second Taiwan site.
  • The company began volume shipments of 36GB HBM4 for Nvidia’s Vera Rubin platform and is one of three global HBM suppliers alongside Samsung and SK Hynix.
  • Shares fell around 4% in early trading as investors weighed peak-margin risks, even as many analysts maintained Buy ratings and raised price targets.