Micron Technology (NASDAQ: MU) shares surged 7.82% in pre-market trading on Sunday, as investors reacted positively to the company's impressive fiscal second-quarter results and optimistic third-quarter guidance. The semiconductor manufacturer's stock price jump reflects growing confidence in its position within the booming AI and data center markets.
The rally comes on the heels of Micron's announcement of record-breaking performance in its data center DRAM segment. Notably, the company's High Bandwidth Memory (HBM) revenue exceeded $1 billion for the first time, highlighting Micron's strengthening foothold in the rapidly expanding AI chip market. The firm attributed this success to its strong product momentum and leadership in low-power DRAM for data centers, positioning it well to capitalize on the increasing demand for AI-related memory solutions.
Looking ahead, Micron provided an upbeat forecast for its fiscal third quarter, projecting revenue of $8.8 billion (plus or minus $200 million) and earnings per share of $1.57 (plus or minus $0.10). The company also anticipates further growth in DRAM and NAND bit shipments, signaling continued strength in its core business segments. As Micron continues to innovate and expand its presence in high-growth markets, investors appear increasingly optimistic about the company's future prospects in the competitive semiconductor industry.
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