Micron Technology Stock Soars on Strong Earnings

Record Revenue and Profitability Drive Stock Price Higher

Micron Technology Inc. (MU) reported record revenue and profitability on Wednesday, driving its stock price up by more than 10% in after-hours trading.

The company's fourth-quarter revenue came in at $9.9 billion, up 19% year-over-year, and above analysts' estimates of $9.7 billion. Non-GAAP net income reached $2.3 billion, or $2.37 per share, beating expectations of $2.23 per share. Micron's gross margin also expanded to 53.2%, up from 49.7% in the previous quarter.

Semiconductor demand remains strong across various sectors, including data centers, mobile devices, and automotive. Micron's strong performance is attributed to its leading-edge memory and storage technologies, which are in high demand."We are seeing strong demand across all of our product lines," said Micron CEO Sanjay Mehrotra. "Our investments in technology and manufacturing have positioned Micron to capitalize on this growth."

The company's upbeat outlook for the future also boosted investor sentiment. Micron expects first-quarter revenue to reach $10.4 billion, with non-GAAP earnings per share of $2.52. This guidance is ahead of analysts' estimates, indicating continued momentum in the memory market.