Micron Technology just posted the kind of earnings report that makes Wall Street forget how to breathe. Revenue hit $41.46 billion for fiscal Q3 2026, a roughly 345% increase year-over-year from $9.3 billion. Adjusted earnings per share came in at $25.11, blowing past analyst estimates. The stock responded by jumping 15% on June 25.
Profits surged nearly 15-fold compared to the same period last year, according to FT Alphaville. Gross margins reached approximately 85%, a figure that would make most chipmakers weep with envy.
The AI memory machine
DRAM prices have been surging as data centers race to build out AI infrastructure, and high-bandwidth memory, or HBM, has become the bottleneck everyone’s scrambling to fill. HBM sits right next to AI processors, and without enough of it, even the most powerful GPU is just an expensive paperweight. Nvidia’s chips need massive amounts of HBM to function, which means Micron, Samsung, and SK Hynix, the three companies that control nearly all global DRAM and HBM supply, are sitting in an extraordinarily comfortable position.
Micron has reportedly sold out its entire HBM capacity through 2026, with supply tightness expected to persist well into 2027. Analysts are forecasting that the three major memory makers will maintain pricing power for at least two more years, thanks to the consolidated nature of the market.
