BOISE, Idaho, September 3, 2026, 06:35 MDT — Micron Technology (MU.O) reversed a 1.6% drop to close up 2.4% as tighter memory markets supported prices.
- Micron ended the session up 2.43%, after dropping 1.6% earlier in Wednesday’s premarket.
- Non-GAAP gross margin for the fiscal third quarter was 84.9%, with management projecting around 86%.
- At 08:34:51 EDT Thursday, shares traded at $953.15, down 0.31% from Wednesday’s closing price.
Micron Technology Inc. NASDAQ:MU recovered from an initial 1.6% drop to finish up 2.43% on Wednesday. The stock ended the session at $956.08, trading 21.2 million shares.
The shift highlights how memory prices are outweighing overall risk worries. It also increases the challenge for margins, which are already close to record levels.
Confidence eased prior to Thursday’s market open. At 08:34:51 EDT, Micron was at $953.15, marking a 0.31% decline compared to Wednesday’s closing price.
Rising contract prices could sustain strong earnings. Susquehanna projects DRAM prices will jump over 50% sequentially this quarter, with NAND prices seen climbing approximately 60%. Dell Technologies Inc. NYSE:DELL chief operating officer Jeffrey Clarke described “DRAM, DRAM, DRAM” as the main limiting factor for AI servers. TipRanks
Micron’s fiscal third quarter reflected that pressure. Revenue climbed to $41.46 billion, compared with $23.86 billion in the previous quarter. Non-GAAP gross margin increased by 10 percentage points to 84.9%. Adjusted free cash flow stood at $18.3 billion.
Revenue and margin accelerated together
Quarterly revenue in billions; non-GAAP gross margin
Source: Micron fiscal Q3 2026 release.
Management anticipates ongoing momentum. Fiscal fourth-quarter guidance is focused on $50 billion in revenue. The non-GAAP margin is projected at approximately 86%, with expected EPS around $31.
Micron’s fiscal Q4 guide
Source: Micron. Company guidance, not actual results.
HBM plays a key role in that forecast. Micron reports it is shipping HBM4 in large volumes to its main customer, with multiple other customers also receiving samples. High-volume manufacturing of HBM4E is anticipated within calendar 2027.
The valuation projects caution. On Wednesday, the market value stood at $1.08 trillion, or 6.17 times projected earnings. This reflects a forward earnings yield of 16.2%, a notably high figure for a top AI provider. Investors appear to be pricing in a pronounced cycle.
Consensus upside across memory stocks
TipRanks analyst-target upside, reported September 2
Source: TipRanks. Target-based upside can change with prices and analyst revisions.
Despite the cyclical nature, analysts continue to have an optimistic outlook. According to TipRanks, Micron was assigned the highest consensus upside out of four memory companies, surpassing SK hynix Inc. NASDAQ:SKHY, Western Digital Corp. NASDAQ:WDC and SanDisk Corp. NASDAQ:SNDK.
Rivalry is intensifying. China’s CXMT has reportedly started HBM3E risk production this week, according to sources. Full-scale manufacturing may start in 2027, though specifications are still in early stages. This would coincide with Micron’s expected HBM4E volume ramp.
Risks: Memory pricing is susceptible to rapid declines as added capacity comes online. Heavy reliance on a few customers, potential impacts from export restrictions, and increased capital expenditures may reduce cash flow. The modest forward multiple signals these risks.
The next scheduled test is set for September 30. Micron is due to announce its fiscal fourth-quarter results at 2:30 p.m. Mountain time. Investors plan to assess final pricing and margins against the company’s notably strong forecast.
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