{"id":5253,"date":"2026-06-25T15:15:55","date_gmt":"2026-06-25T15:15:55","guid":{"rendered":"https:\/\/tradertideinsights.com\/?p=5253"},"modified":"2026-06-25T15:15:55","modified_gmt":"2026-06-25T15:15:55","slug":"micron-briefly-overtakes-meta-tesla-on-ai-chip-demand-surge","status":"publish","type":"post","link":"https:\/\/tradertideinsights.com\/?p=5253","title":{"rendered":"Micron briefly overtakes Meta, Tesla on AI chip demand surge"},"content":{"rendered":"
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Micron Technology (MU) briefly moved ahead of Meta Platforms (META) and Tesla (TSLA) in market capitalization on Thursday, after a strong outlook from the memory chipmaker extended its rally driven by artificial intelligence demand.<\/p>\n

Micron\u2019s shares had surged 18.4% at $1,236, giving the company a market value of $1.398 trillion. <\/p>\n

This compared with Meta\u2019s $1.392 trillion, while Tesla stood at about $1.4 trillion.<\/p>\n

The stock is currently trading up by 10.13% and has a market capitalization of $1.3 trillion.<\/p>\n

The move comes after Micron\u2019s fourth-quarter revenue and profit forecasts helped reverse a recent slump. <\/p>\n

The company also said customers had committed $22 billion<\/a> to secure memory chip supply.<\/p>\n

Micron first crossed the $1 trillion valuation mark on May 26, joining other major semiconductor names benefiting from strong investor interest in companies tied to Big Tech\u2019s AI infrastructure spending.<\/p>\n

Revenue surge driven by data center demand<\/h2>\n

Micron reported that revenue in the second quarter quadrupled, supported by what it described as a demand-driven chip shortage expected to extend beyond 2027. This marks a shift from earlier expectations that the shortage would end in the near term.<\/p>\n

The company now has 16 long-term chip supply agreements in place.<\/p>\n

Adjusted earnings came in at $25.11 per share on revenue of $41.5 billion, representing a 346% increase from a year earlier. Adjusted gross margin stood at 85%, while adjusted operating margin reached 81%.<\/p>\n

Growth was led by Micron\u2019s two data-center segments, which together expanded 415% year-on-year to $25 billion. <\/p>\n

These segments now account for 61% of total sales.<\/p>\n

The company also reported $18 billion in free cash flow for the quarter and said cash, equivalents, and short-term investments rose to $26 billion at the end of May, up from $14 billion three months earlier.<\/p>\n

Analysts raise targets amid \u201cnew era in memory\u201d<\/h2>\n

Following the results, analysts pointed to a structural shift in Micron\u2019s business profile.<\/p>\n

D A Davidson analyst Gil Luria said, \u201cWe posit that Micron has entered an era where it has some of the semi industry’s best visibility, a far cry from its historical role in the semi market,\u201d raising his price target to $2,000 from $1,500<\/a> in a note titled \u201cNew Era in Memory.\u201d<\/p>\n

KeyBanc also lifted its target sharply to $1,600 from $600, with analyst John Vinh stating, \u201cWe believe Micron deserves to be further rerated.\u201d<\/p>\n

Wedbush analysts described the results as a \u201cmuch needed drop the mic quarter to alleviate memory concerns.\u201d<\/p>\n

\u201cWe are seeing no cracks in AI demand on the chips\/ hardware or software front which gives us a bright green light to own the core tech winners into year-end,\u201d they added.<\/p>\n

However, Futurum chief market strategist Shay Boloor cautioned on valuation interpretation, saying, \u201cThis print is a major validation of the memory supercycle thesis but I wouldn’t value Micron by simply annualizing peak margins forever,\u201d adding that normalized earnings power has likely moved higher but cyclicality has not disappeared.<\/p>\n

The post Micron briefly overtakes Meta, Tesla on AI chip demand surge<\/a> appeared first on Invezz<\/a><\/p>\n

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Micron Technology (MU) briefly moved ahead of Meta Platforms (META) and Tesla (TSLA) in market capitalization on Thursday, after a strong outlook from the memory chipmaker extended its rally driven by artificial intelligence demand.Micron\u2019s shares had surged 18.4% at $1,236, giving the company a market value of $1.398 trillion. This compared with Meta\u2019s $1.392 trillion,…<\/p>\n","protected":false},"author":1,"featured_media":5254,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-5253","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-stock"],"_links":{"self":[{"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/posts\/5253","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=5253"}],"version-history":[{"count":0,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/posts\/5253\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=\/wp\/v2\/media\/5254"}],"wp:attachment":[{"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=5253"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=5253"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tradertideinsights.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=5253"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}