Micron (NASDAQ:MU) stock has staged a cautious recovery in the last two weeks, moving from a low of $737 to $971, mirroring the performance of other top memory companies. This recovery may continue as key metrics suggest that it has more upside in the coming months.
Micron Revenue Growth is Accelerating
One of the top metrics supporting Micron’s stock performance is that its revenue growth is accelerating. Its last earnings report showed that its revenue jumped by 74% QoQ and 346% YoY to $41 billion. The management hinted that its fourth-quarter revenue will jump to $51 billion.
There is a possibility that its actual revenue figure will be better than expected since the management tends to be highly conservative. Most notably, its top customers like Nvidia, Apple, Google, and Amazon, have all hinted that they would continue their spending.
Also, its top competitors in the HBM industry, like Samsung Electronics and SK Hynix also published strong financial results. Samsung made over 171.5 trillion won ($120 billion) in the last quarter, a 28% QoQ increase, while SK Hynix made 79.32 trillion won ($55.7 billion) in the same period. Therefore, there is a likelihood that Micron’s revenue will surpass $55 billion, while its margins will continue growing.
