Micron Reports Strong Q3 Results, But Shares Drop 7%

Micron Technology (NASDAQ:MU) reported its Q3 results, surpassing Wall Street expectations due to increasing demand for artificial intelligence-optimized hardware, which has driven up memory chip demand. Despite the positive earnings report, Micron shares fell more than 7% intra-day today.

For Q3, Micron posted an EPS of $0.62 on revenue of $6.81 billion. This significantly exceeded analysts' predictions, who had anticipated a loss of $0.48 per share on revenue of $6.66 billion.

Micron highlighted its success in capturing market share in high-margin products such as High Bandwidth Memory. The company also noted that its data center SSD revenue reached a record high, underscoring the robustness of its AI product portfolio across both DRAM and NAND segments.

Looking forward, the company provided guidance for Q4, forecasting adjusted EPS between $1.00 and $1.16 and revenue in the range of $7.40 billion to $7.80 billion. Street estimates stood at $1.01 for EPS and $7.56 billion for revenues.