Overview
- Micron reported fiscal Q2 results that showed 196% year‑over‑year revenue growth to $23.9 billion, a record $18.8 billion in DRAM sales, $12.20 adjusted EPS, and a 75% gross margin.
- The company issued bold guidance for the next quarter projecting roughly $33.5 billion in revenue and about 81% gross margin, which underpins analyst upgrades and higher price targets.
- Micron said it has begun mass shipments of HBM4 for major AI platforms and that its entire HBM output for 2026 is already contracted under fixed‑price deals, limiting near‑term supply to customers.
- The Manassas, Virginia site started 1‑alpha DRAM production on Friday, May 22, a $2 billion expansion Micron says will quadruple DDR4 wafer output and aim for qualified production by year‑end.
- Investors face a near‑term story of strong profitability and sold‑out AI demand but must watch the timing of Micron’s and rivals’ capex ramps and the June 24 earnings update for signs that rising capacity could ease pricing later.