Micron’s Post-Earnings Pop Leads Nvidia and Other Chip Stocks Higher

  • December 16, 2024
  • Category: Blockchain
Micron’s Post-Earnings Pop Leads Nvidia and Other Chip Stocks Higher
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Key Takeaways

  • Micron Technology shares surged Thursday on its strong outlook, leading Nvidia and other semiconductor stocks higher.
  • Nvidia, its partner Micron, and other chip companies have seen their revenue and stock prices climb amid a boom in demand for infrastructure to support AI.
  • Micron CEO Sanjay Mehrotra said Wednesday the company’s sales have nearly doubled from a year ago, with record-high revenue expected in the current quarter.

Micron Technology ( MU ) shares surged Thursday after the memory chip maker’s revenue and outlook blew past expectations , leading Nvidia ( NVDA ) and other semiconductor stocks higher.

Shares of Micron were up over 16% in pre-market trading, while shares of partner Nvidia ( NVDA ) gained close to 3%. Advanced Micro Devices ( AMD ), Broadcom ( AVGO ), and Taiwan Semiconductor Manufacturing Company ( TSM ) also rose, pulling Nasdaq futures up close to 1.5%.

Micron’s Sales Surge on ‘Robust AI Demand’

Nvidia, Micron, and other chip companies have seen their revenue and stock prices climb amid a boom in demand for infrastructure to support artificial intelligence (AI) .

Micron CEO Sanjay Mehrotra said Wednesday the company’s fiscal fourth-quarter sales nearly doubled from a year ago to $7.75 billion, driven by “robust AI demand.”

Mehrotra also said the company’s sales are expected to continue growing, projecting current-quarter revenue could reach a record high between $8.5 billion to $8.9 billion.

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