Computer memory chip maker Micron Technology (MU) posted spectacular third-quarter earnings on Wednesday, boosting the entire AI memory sector, AI-related stocks, and even giving cryptocurrencies a slight boost.
bitcoin rose back above $60,000 after the markets closed, but bullish AI sentiment will ultimately take more liquidity out of cryptocurrencies.
Micron shares rose 16% in premarket trading Thursday after the memory chip maker’s third-quarter guidance beat Wall Street expectations. Third-quarter revenue came in at $41.5 billion versus estimates of $35.7 billion, while earnings per share (EPS) hit $25.11 versus expectations of $20.49.
Memory chips have become the backbone of AI infrastructure, particularly high-bandwidth memory (HBM), which is essential for training and running large AI models. Chief Executive Sanjay Mehrotra told analysts there was “no view” on when supply would catch up to demand, and shortages were expected to persist well beyond 2027.
The company also issued strong fourth-quarter guidance, forecasting revenue of about $50 billion, well above Wall Street expectations of $43.2 billion.
The rise of AI has weighed heavily on the cryptocurrency market this year, with bitcoin now more than 50% below its October all-time high, trading at the $60,000 level.
