Micron Technology just posted the kind of quarter that makes Wall Street analysts look like they’re playing darts blindfolded. The chipmaker reported fiscal Q3 2026 revenue of $41.5 billion against expectations of $35.7 billion, alongside adjusted earnings per share of $25.11 versus the roughly $20.5 consensus. Shares surged approximately 16% in premarket trading.
The AI memory squeeze is just getting started
Micron’s Q4 revenue guidance landed in the $49 billion to $51 billion range. Analysts had been expecting roughly $43.2 billion.
Projected gross margins for the upcoming quarter sit at around 86%.
CEO Sanjay Mehrotra pointed to the root cause during the earnings announcement on June 24: supply constraints in the high-bandwidth memory (HBM) market are expected to persist beyond 2027. When demand consistently outstrips supply in any market, the entity selling the scarce good gets to name its price. Micron is currently that entity, alongside competitors like SK Hynix, which also saw its shares climb on the back of Micron’s results.
