Micron Reports Strong Q4 Results and Raises Price Target Amid Robust Demand
Micron Technology (NASDAQ:MU) reported record-breaking financial results in its fiscal fourth quarter of 2026, with revenue surging to $54.23 billion—well above the expected $51.07 billion—and adjusted earnings per share rising sharply to $33.42 from $31.61 forecasted. The company also provided strong guidance for fiscal year 2027 and beyond, citing continued demand outpacing supply in both DRAM and NAND memory markets. The surge is largely driven by the growing need for high-bandwidth memory (HBM) used in AI applications, which has led to significant price increases. Micron expects this trend to continue into 2027 and beyond as it struggles to expand production fast enough to meet demand. CEO Sanjay Mehrotra noted that cleanroom expansions are necessary but insufficient to close the widening supply-demand gap. Micron's stock, while down from its June record high of $1,213, has gained 275% year-to-date and is trading at a low forward P/E ratio due to concerns about peak pricing. The company is also shifting toward strategic customer agreements (SCAs) to stabilize revenue visibility and move away from the traditional boom-bust memory cycle.
Topics: AI Demand DRAM HBM Memory Market NAND