Micron Soars on Record Earnings as AI Memory Demand Surges

Shares of Micron surged 15% after the memory chipmaker reported blockbuster third-quarter earnings, fuelled by soaring demand for memory chips driven by the artificial intelligence boom.

The company's revenue quadrupled from about $9 billion a year earlier to nearly $42 billion, and Micron posted record revenue, record gross margin and record earnings for the quarter. It also said it had signed 16 strategic customer agreements designed to lock in supply over several years.

The results lifted other memory names, with Sandisk gaining nearly 22%, Western Digital adding close to 5% and Seagate climbing more than 3%.

The numbers highlight a widening split in the chip sector, where memory makers have outpaced the large “hyperscaler” companies spending heavily to build out AI data centres.