Micron Technology, Inc. shares jumped nearly 4% on Wednesday after the company reported solid first quarter financial results. Revenue rose 71.3% to $6.8 billion – beating consensus estimates by $410 million – while earnings per share of $2.45 beat consensus estimates by 25 cents per share. Second quarter guidance exceeded consensus expectations in terms of revenue but missed consensus expectations in terms of net income.
The company believes that DRAM industry supply bit growth will reach about 20% next year, and it expects to come in slightly below that figure. But Micron believes that NAND industry supply bit growth will reach about 50% next year, and it expects to come in “somewhat above” the industry. This could create opportunities for companies like Lam Research Corporation and Applied Materials, Inc. as suppliers of these technologies, according to Stifel analysts. (See also: Micron’s Sell-Off Presents an Opportunity: MKM.)
Micron shares moved higher following favorable first quarter financial results, but traders will be watching these key levels. …read more
Read more here: Micron Stock Breaks Out Following Strong Earnings
Category: MU, LRCX, AMAT