Micron Technology fell about 4.2% to $984.62 Thursday even as a global high-bandwidth-memory crunch handed suppliers more pricing power. Chinese AI-chip companies raised prices as scarce HBM supplies pushed component costs higher, with Huawei's upcoming Ascend accelerator reportedly becoming 20% to 50% more expensive. Micron's fiscal third-quarter revenue surged to $41.46 billion from $9.30 billion a year earlier, while adjusted free cash flow reached $18.3 billion, or 44.1% of sales. Management expects approximately $50 billion in fourth-quarter revenue and an adjusted gross margin near 86%, implying another 20.6% sequential revenue jump. Still, Micron's $984.62 share price stands 56.92% above its GF Value estimate of $627.48, leaving little room for AI demand or memory pricing to cool.
Micron Technology IncMicron's fiscal Q3 revenue surged to $41.46 billion from $9.30 billion and management guided Q4 revenue near $50 billion with ~86% gross margin.
Huawei's upcoming Ascend accelerator reportedly became 20% to 50% more expensive as scarce HBM supplies pushed component costs higher.
