#MicronOvertakesMetaInMarketValue

On Thursday, Micron briefly surpassed Meta and Tesla. It reached a market value of $1.4 trillion.
Third-quarter revenue rose 346% to $41.5 billion. AI data center demand far outpaced supply.
Customers made upfront deposits of $22 billion for memory chip supply.

Following these results, Micron’s shares rose by 18.4% to $1,236, bringing the company’s market value to $1,398 billion. Meta’s market value stands at $1,392 billion. Tesla, meanwhile, remains just slightly above Micron at $1,400 billion. For the first time in its history, Micron surpasses both companies.

The Nvidia Effect in Memory: Micron Shines
Micron’s rise is likened to the period when Nvidia emerged as the main hardware player in the AI computing revolution. While Nvidia’s graphics processors became an indispensable part of AI model training, memory chips are now turning into a new bottleneck. Without high-bandwidth memory (HBM), even the most powerful AI processors cannot scale.

This comparison to Nvidia’s rise also finds support on Wall Street: at least six banks raise their price targets before the balance sheet; all cite the same rationale: by 2028, AI memory demand will grow much faster than supply.

The figures behind this claim bolster confidence. The quarterly gross profit margin reaches 84.9% in the May quarter; last year, the figure was 39%. Just three years ago, Micron’s margin was nearly negative 33%. The company forecasts that the margin will be 86% in the current quarter.
Experts assess that if AI investments continue in the coming years, memory chip manufacturers, especially Micron, can continue to significantly increase their revenues and profitability.