Micron Technology

Micron Technology reported a blowout Q3 FY2026, with revenue and earnings far exceeding street estimates, driven by surging demand for AI-related memory solutions. The company's guidance for Q4 suggests continued momentum, albeit with moderating price increases.

Micron Technology reported a staggering 196% year-over-year revenue growth in Q2 FY2026, driven by strong demand across all business units and a significant expansion in gross margins. The company's outlook for Q3 FY2026 is equally bullish, with revenue guidance of $33.5 billion, reflecting continued momentum in the memory market.

Micron Technology cleared the Q1 FY2026 bar, but the actionable part of the print is that management is now underwriting a longer memory tightness cycle with $20 billion of fiscal 2026 CapEx and an HBM TAM pull-in to around $100 billion in 2028. The market was priced for an AI-memory beat; what it may still be mispricing is the duration and breadth of the upcycle across DRAM, NAND, and non-HBM data center demand.

Micron Technology did not deliver a revenue shock, with Q4 only +0.9% above Street, but the print confirms that investors should underwrite a higher-margin memory company as AI server mix displaces commodity cyclicality. The variant view is that the market is still treating the quarter as a late-cycle DRAM beat, when the data point argues for a structural gross-margin reset led by HBM, high-capacity DIMMs, and LP server DRAM.