Micron's 'explosive' earnings report sent Wall Street into a frenzy

On June 24, 2026, after the US stock market close, Micron Technology (MU) delivered a historic report card that left all doubters speechless.
Third-quarter revenue was $41.46B, up a staggering 345.72% year-over-year and 73.75% quarter-over-quarter; net profit was $28.24B, up 1398.30% year-over-year; gross margin reached 84.9%, even surpassing AI chip giant Nvidia; adjusted EPS was $25.11; free cash flow was $18.3 billion. All four business lines exploded, with three core metrics setting single-quarter historical records.
What excited the market even more was the next-quarter guidance: Micron expects Q4 revenue of approximately $50 billion, far exceeding the analysts' average estimate of $43.58 billion; EPS guidance of $30.73, also above Wall Street's estimate of $25.31.
After the earnings release, Micron's after-hours stock price once surged over 16%, eventually closing up about 15.78% at $1,213.96. Subsequently, US chip stocks collectively rose in after-hours trading—Western Digital surged over 11%, SanDisk over 10%, Qualcomm over 10%, Seagate Technology over 8%, ARM over 5%. Nasdaq futures jumped over 500 points. Wall Street investment banks raised their target prices overnight. JPMorgan raised its target from $550 directly to $1,540; BofA Securities raised to $1,550; DA Davidson and Susquehanna both shouted out $2,000 as the highest Wall Street target. Micron's cumulative return over the past year has reached 724%.
This frenzy was not limited to US stocks. On June 25, South Korea's KOSPI index surged 5.4% to 8,928.61 points, KOSPI 200 futures rose 5% triggering a circuit breaker; SK Hynix's stock price soared 13.06% in a single day; the six major A-share memory leaders—GigaDevice, Longsys, De Ming Li, Biwin Storage, Shannon Core, Pu Ran Shares—all hit record highs. Samsung Electronics rose 5.58%, SK Hynix rose 11.05%.
Micron CEO Sanjay Mehrotra clearly stated that due to AI-driven demand and structural supply constraints, the HBM supply shortage will continue beyond 2027. The company's HBM capacity for 2026 is essentially sold out. Goldman Sachs believes that a clearly looser supply-demand balance will not appear until at least 2028. Micron has significantly expanded its strategic customer agreements from one five-year contract in the previous quarter to 16 signed agreements—the business model is transitioning from a cyclical commodity producer to a multi-year contract supplier.
And just as this AI storage feast fully erupted, a globally renowned value investor hailed as the 'Indian Buffett' is deeply regretting a decision he made two years ago.
Mohnish Pabrai, born in India in 1964, was an engineer in his early years. He founded the Pabrai Investment Fund in 1999. In 2007, he won the opportunity to have lunch with Warren Buffett for $650k.
On June 22, in a Korean interview program, Pabrai reviewed the most regrettable trades in his investment career.
As early as 2017, he began building a position in Micron and held it for six years, during which the position once accounted for 77% of his portfolio. His investment logic at the time was very clear: after a brutal shakeout, the global memory market ultimately formed an oligopoly of three players—Samsung, SK Hynix, and Micron. He even flew to Seoul to meet with SK Hynix management, visited Samsung's top brass, and had in-depth discussions with Micron's Indian-origin CEO. He also specifically consulted Buffett and Munger about this—the reply was that most oligopolies can make a lot of money.
But in September 2023, Samsung announced capacity expansion. Based on this, Pabrai judged that the supply-side logic of the storage industry had been disrupted, and immediately sold all his Micron holdings, at which point he had roughly doubled his money.
However, at that very point in time, ChatGPT had already been launched, and HBM demand driven by AI large models was experiencing explosive growth.
Within two years after the sell-off, Micron's stock price had accumulated gains of over 15 times. According to estimates, he missed out on about $2 billion in profits. He made the same mistake in his trades on SK Hynix.
'I very much regret that I violated my own principle and sold a company that I should have held forever,' Pabrai admitted in the interview.
But his judgment on the storage industry remains clear—
'The memory industry once had as many as 20 companies fighting each other, undercutting prices, and eventually all exited with losses, leaving only three,' Pabrai explained. 'New entrants are almost impossible to come in—patent barriers, engineering talent reserves, process complexity; it takes 10, 15, or even 20 years to enter.'
For investors still holding South Korean semiconductor stocks, his advice is very direct:
'If you already hold, don't sell. The party has just begun.' #0成本拿2股SK海力士