Micron Technology shares surged in Thursday’s trade after the memory-chip maker delivered strong fiscal third-quarter results and issued a robust outlook. The performance offered fresh signs that AI-led investments are generating healthy returns, helping ease valuation concerns.
The company’s shares were last up 20% at $1,255, giving it a market capitalisation of $1.398 trillion. Micron’s valuation has, while Tesla’s market value stood at around $1.4 trillion, as per Reuters.
Last June, Micron was a well-known but relatively lesser-known company, with a market capitalisation of $136 billion. Fast forward a year, and Micron has emerged as one of the stars of the technology rally, with its market capitalisation crossing the $1 trillion mark on May 26.
Growing demand for artificial intelligence and data-centre infrastructure has also propelled several global technology companies into the $1 trillion market-capitalisation club.
Micron’s stronger-than-expected numbers also . Sentiment towards the AI infrastructure sector was further supported after Micron unveiled 16 long-term contracts.
The largest US maker of computer memory chips reported that its revenue more than quadrupled to $41.46 billion in its fiscal third quarter from $9.3 billion a year earlier. The company expects revenue to touch $50 billion in the current quarter, compared with $11.3 billion in the corresponding period last year.
Operating cash flow stood at $25.39 billion versus $11.90 billion for the prior quarter and $4.61 billion for the same period last year.
Qualcomm also strengthened the AI narrative, gaining 13% in early Thursday trading after forecasting more than $15 billion a year in sales by fiscal 2029 from AI components for data centers.
“For investors who spent much of this week worrying about slowing demand and stretched valuations, Micron’s results offered reassurance that the AI investment cycle is still intact,” said domestic brokerage firm Vested Finance.
“The earnings report is significant because Micron sits at the heart of the AI supply chain. Its memory chips are critical for training and running advanced AI models, making the company’s performance one of the clearest indicators of whether AI spending remains strong,” the brokerage added.
“Micron’s record fiscal Q3 financial results and even stronger outlook for Q4 reflect the strategic value of memory in the AI era,” said Sanjay Mehrotra, Chairman, President and CEO of Micron Technology.
Micron shares rally over 300% so far in 2026; gain 1,530% since April 2025
With today’s rally, Micron Technology shares have surged a whopping 306% so far in 2026, building on a 240% rally in the previous year. The stock began its bull run in April 2025, climbing from $76.95 to its current trading price of $1,255, translating into a massive gain of nearly 1,530%.
During the rally, the stock hit a fresh all-time high of $1,255. Micron has also emerged as the best-performing stock in the Philadelphia Semiconductor Index so far this year, gaining more than 300% since January, despite Tuesday’s sharp decline.
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