Micron’s Earnings Surge Boosts Nvidia as AI Memory Demand Accelerates

Nvidia shares climbed 4.33% in premarket trading following Micron Technology's stellar earnings report, which highlighted explosive growth in AI memory demand. Micron's fiscal Q3 revenue of $9.3 billion and EPS of $1.91 both surpassed analyst expectations, with Q4 revenue guidance set at $10.7 billion—a 15% sequential increase.

The standout performance was driven by record DRAM revenue, a 50% quarter-over-quarter jump in High Bandwidth Memory (HBM) sales, and datacenter revenue doubling year-over-year. These metrics mirror the growth patterns seen in Nvidia's AI accelerator business, reinforcing the symbiotic relationship between advanced memory solutions and AI hardware.

Micron's 42% gross margin projection for Q4 underscores the pricing power of HBM technology, a critical component for Nvidia's GPUs. The earnings beat signals accelerating infrastructure investment in AI—a tailwind that extends beyond semiconductor stocks to crypto assets tied to compute-intensive blockchain networks.