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Micron technology (NASDAQ:MU) is scheduled to report second-quarter earnings on Wednesday, March 20, after the market closes.
Analysts expect a loss per share of $0.24 on revenue of $5.35 billion, which would represent an increase of 45%.
The chipmaker is expected to report a solid pace for its second-quarter results, helped by a recovery in the memory market and increased demand for its high-bandwidth memory (HBM) chips, also known as ai memory.
The Boise, Idaho-based company is also expected to release third-quarter guidance above market expectations, benefiting from higher prices for its memory chips.
Micron (MU) began volume production of its high-bandwidth memory semiconductors, HBM3E (High Bandwidth Memory 3E), in February for use in Nvidia's (NVDA) latest chip for artificial intelligence.
Citi analysts expect Micron's (MU) quarterly numbers (and forecasts) to beat expectations as the company benefits from the “love of artificial intelligence.”
According to brokerage Stifel, Micron (MU) is experiencing a “sweet spot” for memory that should drive multiple expansion as it is now more connected to artificial intelligence through high-bandwidth memory.
Shares of Micron (MU) have risen nearly 63% over the past 12 months, handily outpacing the broader S&P 500 index's 30% gain.
Over the past three months, the company has seen significant revisions to its estimates. Its earnings per share estimates have been revised upward 27 times, compared to one downward revision, while revenue estimates have seen 25 upward revisions versus two downward moves.
Analysts looking for Alpha generally consider MU a Hold. This compares to Wall Street's average rating of Buy and SA Quant rating of Hold.
