Micron Stock Price Jumps 17% In Pre-Market Trading After Q3 Earnings Crush Estimates; AI Drives Strong Revenue

Shares of Micron Technology surged in pre-market trading on Thursday after the memory-chip manufacturer reported stronger-than-expected quarterly results and issued an upbeat revenue forecast, highlighting the continued impact of artificial intelligence-driven demand across the semiconductor industry.

Micron Share Price Today on Nasdaq

Micron Technology shares closed at $1,048.51 on Nasdaq on June 25, down 0.31% (or $3.26) from the previous session. During regular trading hours, the stock opened at $1,082.22, touched an intraday high of $1,083.32, and slipped to a low of $991.10 amid market volatility.

Micron Stock Surge Over 17% in Pre-market Trading

However, investor sentiment turned sharply positive after the company released its stronger-than-expected quarterly earnings and upbeat revenue guidance. In pre-market trading, Micron stock surged 17.21% to $1,229.00, gaining $180.49 from its previous close.

The earnings announcement also lifted sentiment across the broader technology sector, with investors returning to AI-linked chip stocks following a recent selloff.

Should You Buy Micron Stock? Here's What Brokerages Are Saying

Brokerages turned more bullish on Micron after its stronger-than-expected earnings and upbeat AI-driven outlook. According to reports, BofA Securities raised its price target on Micron to $1,550 from $1,500 while maintaining a "Buy" rating, citing continued strength in AI memory demand and improving earnings visibility.

Meanwhile, Goldman Sachs also increased its target price to $1,100 from $900, while retaining a "Neutral" rating after the company's robust quarterly performance.

Micron Share Price Jumps As AI Boom Powers Revenue Growth

Micron delivered a robust performance in its fiscal third quarter, benefiting from strong demand for high-bandwidth memory and other advanced chips used in AI infrastructure.

The company reported quarterly revenue of approximately $41.46 billion, significantly higher than the level recorded during the same period last year and comfortably ahead of market expectations. The results underscore how rapidly AI-related spending by major cloud providers and technology companies continues to expand.

Investors responded positively to the numbers, sending Micron shares sharply higher in pre-market trading. The stock has also delivered exceptional gains over the past year, reflecting growing confidence in the company's position within the AI supply chain.

AI Data Centre Expansion Continues To Fuel Memory Chip Demand

One of the biggest drivers behind Micron's growth has been the rapid construction of AI-focused data centres by hyperscale technology companies.

Large AI models require enormous amounts of memory to process and store data efficiently. As cloud providers continue investing heavily in AI infrastructure, demand for memory chips has surged, creating favourable market conditions for manufacturers such as Micron.

As per CNBC report, Rising demand from AI applications has also tightened memory supply available for consumer products, including smartphones, personal computers and other electronic devices. This supply-demand imbalance has contributed to firmer pricing across the memory market.

Mircon Tech Strong Revenue Outlook Signals Continued Momentum

Micron's management remains optimistic about business conditions in the current quarter.

The company has projected revenue of around $50 billion for the ongoing quarter, representing substantial growth compared to the corresponding period a year ago. The forecast suggests that demand from AI-related customers remains strong despite broader concerns about the global economy and technology spending cycles.

Another key highlight from the earnings update was Micron's expanding portfolio of long-term customer agreements.

The company disclosed that it has secured 16 long-duration contracts spanning industries such as data centres, automotive technology and advanced computing. These agreements generally cover periods ranging from three to five years and are expected to generate significant future financial commitments.

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